02 - general ledger accounting

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Tim Pengajar SAP STMIK Mikroskil

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Overview

• Introduce key organizational elements in financial accounting, G/L Introduce key organizational elements in financial accounting, G/L master records, and how to create postings using both the Enjoy and Complex document entry screens

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Objectives

After completing this unit, you’ll be able to:p g y• Describe the purpose of company codes and business areas• Describe the options for assigning company code(s) to a controlling area• Display a chart of accounts• Display the G/L account directory• Create G/L accounts• Describe the special role of reconciliation accounts• Maintain a financial statement versionE G/L i i h E j i d h di i l• Execute G/L postings using the Enjoy transaction screen and the traditionalscreen for complex posting

• Explain the structure of an accounting document• Query a G/L account• Run the balance sheet• View cost elements

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Contents

•Organizational Structures for Financial ReportingOrganizational Structures for Financial Reporting

• G/L Master Records

• Accounting Transactions – Processing in the General Ledger

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Accounting Overview

•Accounting means the way it’s used to store the transactional data Accounting means the way it s used to store the transactional data in a systematic way based upon Accounting Principles

• There are two types of accounting methods:• Finance – Financial Accounting for External Reporting purpose• Controlling – Managerial Accounting or Costing for Internal Reporting purpose

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Basic Accounting Principles

• Basic accounting principles which are useful to draw the financial Basic accounting principles which are useful to draw the financial statements like Profit & Loss Account and Balance Sheet Statements

• The transactions are recorded on the basis of classification of accounts and rules pertain to Debit and Credit

• There are 3 types of Accounting Principles to post the day to day transactions:• Personal Accounts• Real Accounts• Nominal Accounts

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Personal Accounts

• Transactions relating to persons or firms are come under Personal Transactions relating to persons or firms are come under Personal Accounts

• Accounting Rule: Debit is the Receiver and Credit is the Giver

• E.g. BOB paid cash to ALICE• Accounting entry:Alice A/c Dr 10,000To BobA/c Cr 10,000

• In this example Alice’s account will be “Debited” (Receiver) similarly In this example, Alice s account will be Debited (Receiver), similarly Bob’s account will be “Credited” (Giver)

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Real Accounts

• Transactions relating to properties or assets come under Real Transactions relating to properties or assets come under Real Accounts

• Accounting Rule: Debit what comes in and Credit what goes out

• E.g. Building purchased for cash• Accounting entry:Building A/c Dr 5,000,000To Cash A/c Cr 5,000,000

• In this example building account will be “Debited” since it is coming into In this example, building account will be Debited , since it is coming into the business and cash account will be “Credited”, since it is going out of business

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Nominal Accounts

• Transactions relating to expenses or losses and incomes or gain come under g p gNominal Accounts

• Accounting Rule: Debit all expenses and losses and Credit all revenues and gains

• E.g. Salaries Paid – Pertains to Expense• Accounting entry:Salaries A/c Dr 2,000,000To Cash A/c Cr 2,000,000

• In this example, salaries account will be “Debited”, since it is a nominal account and cash account will be “Credited”, since cash is going out of business

• E.g. Interest Received on Investments – Pertains to Income• Accounting entry:Cash A/c Dr 5,000To Interest A/c Cr 5,000

• In this example, cash account will be “Debited”, since cash is coming into business and interest account will be “Credited”, since it is a nominal account

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• The words “Debit” and “Credit” have no specific meaning

Concept of Debit and Credit

The words Debit and Credit have no specific meaning

• They are used only as Accounting Symbols

• In accounting, the Left Hand Side is called Debit and the Right Hand Side is called Credit

• Debit is used to denote a receiver or receiving account and Credit is used to denote a giver or giving account

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Concept of Debit and Credit

Transaction Received Benefit – DR Giving Benefit – CRg

Purchased Raw Materials Raw Materials Cash

Sales Cash Goods

Paid Salaries Salaries Cash

Discount Received Cash Discount

Commission Paid Commission Cash

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• General ledger accounting is based on the double entry accounting

General Ledger Accounting

General ledger accounting is based on the double entry accounting system, where every transaction has both a debit entry and a credit entry

• The figure below illustrates how postings are debited and credited to these accounts using a “T” account• Debits are displayed on the left side of the T account, and credits on the right side

• An increase in an asset account or an expense account results in a debit posting, whereas a decrease results in a credit postingp g, p g

• Conversely, an increase in revenue or liability results in a credit posting, whereas a decrease generates a debit posting

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Scenario Example (1)

• A venture capitalist invests $50,000 on January 10, 2010, which A venture capitalist invests $50,000 on January 10, 2010, which deposits into its bank account. In exchange, the investor receives common stock at $1 per share. How is this transaction recorded in the general ledger?• The first step is to identify the relevant accounts• For this transaction, the appropriate accounts are bank (#100000) and common stock (#329000)

• The transaction will generate an increase in both accounts• Because the bank account is considered an asset, there will be a debit Because the bank account is considered an asset, there will be a debit posting, while common stock, a liability, will receive a credit posting

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• A company purchases office supplies for $500 with a checkA company purchases office supplies for $500 with a check• Office supplies are expensed; that is, they are defined as money spent rather than treated as an asset upon purchase, even if some of the supplies remain unused

• In this case, the relevant accounts are bank and supplies expense

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• A company purchases $1,000 of office supplies, but on credit rather A company purchases $1,000 of office supplies, but on credit rather than with cash• In this case, the purchase and payment are recorded separately• One account is supplies expense, which is debited by $1,000• The offsetting account is payables–miscellaneous, which is credited by $1,000

• Payment is made using the bank account ($1,000 credit)• Finally, the payables–miscellaneous account is cleared ($1,000 debit)

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Questions

• BOB commenced business with cash 10,000,• Opened a bank account 5,000• Bought goods from BOB 1,000• Sold printer to BOB on credit 1,000• Sold goods for cash 400• Purchases goods for cash from BOB 200• Drew cash from bank 500• Paid rent to landlord 250• Received cash from BOB 1,000• Took a loan from BOB 2,000• Office equipment stolen 500

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Lesson Overview

•Organizational structures occur in all important functional areas of Organizational structures occur in all important functional areas of the SAP system

• The most important organizational elements in Financial Accounting are the company code and the business area

• The most important organizational element of the Controlling application is the controlling area

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Objectives

After completing this lesson, you’ll be able to:After completing this lesson, you ll be able to:

• Describe the purpose of company codes and business areas

• Describe the options for assigning company code(s) to a controlling area

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Company Code

•A company code is an independent accounting entity (the smallest A company code is an independent accounting entity (the smallest organizational element for which a complete self‐contained set of accounts can be drawn up)• E.g.A company within a corporate group

• A company code has a unique,four‐character key, which can be alphanumeric

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Company Code

• The general ledger is kept at the company code level and is used to g g p p ycreate the legally required balance sheets and profit‐and‐loss statements for the company code• Financial statements are generally prepared at the company code level• The financial data recorded in the general ledger are used to generate the financial statements needed for external reporting

• A balance sheet is a snapshot of the organization at a point in time, which identifies assets, liabilities, and equity

• A profit‐and‐loss statement (income statement) indicates the changes in a company’s financial position over a period of time, which identifies revenues, costs and profits or lossescosts, and profits or losses

• A company code is specified on every financially based transaction of mySAP ERP• This is done either manually or by deriving the company code from otherdata elements

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IDES Company Codes

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Business Area

• The business segments, or branches, in which a group operates can be g , , g p pset up in the SAP system as business areas• Business areas provide an additional evaluation level for segment reporting, for example

• Use of business areas is optional

• Business areas are internal divisions of an enterprise that are used todefine areas of responsibility or to meet the external reporting requirements of an enterprise segment• A segment is a division of an enterprise for whichmanagement monitors performance (revenue, costs, profitability, etc.) separately from other segments

• Business areas are generally company‐code independent• User can post to them from any company code

• The Business area field shows up as an additional account assignment when posting to an account as long as the field is turned on in configuration• The field can be made a required entry during posting

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Business Area

• Financial statements are generated for each business area within Financial statements are generated for each business area within the enterprise

• A business area is often based on either the enterprise’s product line or its geographic division, across company codes

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Business Area

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IDES Business Areas

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Controlling Area

• The Controlling Area is the most important organizational element eCo t o g ea s t e ost po ta t o ga at o a e e e tin the Controlling application• The latter is used for internal Accounting

• A controlling area identifies a self‐contained organizational structure for which costs and revenues can be managed and allocated• It represents a separate unit of cost accounting

• More than one company code can be assigned to one or more controlling areasg• This enables a cross‐company code costing between the assigned company codes

• However, assigning more than one company code to the same controlling area is possible only if all the assigned company codes use the same operating chart of accounts and fiscal calendar year

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Controlling Area

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IDES Controlling Areas

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Lesson Overview

•Examine General Ledger (G/L) accounts in detailExamine General Ledger (G/L) accounts in detail

• Discuss the reasons that a company code may need to be assigned to more than one chart of accounts

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Objectives


• Display a chart of accounts

• Display the G/L account directory

• Create G/L accounts

• Describe the special role of reconciliation accounts

• Maintain a financial statement version

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Overview

•The goal of financial accounting is to record the financial impact of The goal of financial accounting is to record the financial impact of business activities• These data are recorded in the company’s general ledger

• More specifically, the general ledger includes many accounts thatcompanies use to record financial data• Each account tracks different types of financial data• E.g. Some accounts record sales revenues, whereas others record the costs associated with producing and selling products

• A list of accounts that can be included in a general ledger is called a chart of accounts

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Chart of Accounts

• Each general ledger is set up according to a chart of accountsEach general ledger is set up according to a chart of accounts

• The chart of accounts contains the definitions of all G/L accounts in an ordered form

• The definitions consist mainly of the account number, account name, and the type of G/L account, that is, whether the account is a P&L‐type account or a balance‐sheet‐type account

• User can define an unlimited number of charts of accounts in the SAP systemSAP system

•Many country‐specific charts of accounts are included in the standard system

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Chart of Accounts

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P&L‐Type Account

• Profi t and loss (P&L) accounts are divided into revenues and Profi t and loss (P&L) accounts are divided into revenues and expenses

•Revenues are the money the company earns by selling its productsand services

• Expenses are the costs associated with creating and selling thoseproducts and services

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Balance‐Sheet‐Type Account

• Balance sheet accounts are grouped into assets, liabilities, and equityBalance sheet accounts are grouped into assets, liabilities, and equity

• Assets are what the company owns, such as cash, inventory ofmaterials, land, buildings, and money owed to the company by itscustomers (receivables)

• Liabilities are what the company owes to others, including moneyowed to vendors (payables) and loans from financial institutions

• Owner’s equity refers to the owner’s share of the company’s assets

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Chart of Accounts

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Chart of Accounts

• For each company code, user must specify one chart of accounts For each company code, user must specify one chart of accounts for the general ledger• This chart of accounts is assigned to the company code in configurationand is referred to as its operating chart of accounts

• A chart of accounts can be used by multiple company codes• This means that the general ledgers of these company codes have identical structures

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Chart of Accounts Assignment

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Settings for Company Codes

• The accounts in the general ledger are defined based on the The accounts in the general ledger are defined based on the selected chart of accounts

• The general ledger is an instantiation of the COA for a particular company and can include some or all of the accounts in the COA

• Before user can use an account in a company code, user have to maintain the account definition at the chart of accounts level

• User then create company code‐specific settings, which are only valid in the company codevalid in the company code• An example of a company code‐specific setting is defining the account currency

•When the account currency is the local currency of the company code, one can post to that account in any currency

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Company Code‐Specific Settings

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• Like most master data, the data in general ledger accounts are Like most master data, the data in general ledger accounts are segmented by organizational level

• COA account data include a COA or client segment and a company code segment

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• The COA segment typically includes an account number, short and The COA segment typically includes an account number, short and long text, an account group, and an indication as to whether the account is a balance sheet or a profit and loss account

• Each account is assigned a unique account number to distinguish it from other accounts in the COA

• Each account also includes a long text (description) and short text (brief description) of the account

• Designating the account as either a balance sheet or a profit and loss account has implications for the ways the balances in the loss account has implications for the ways the balances in the accounts are treated at the end of the year

• Specifically, balances in balance sheet accounts are carried forward into the same account, whereas balances in the profit and lossaccounts are carried forward into different, specified accounts

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• Although the accounts in a COA can be used by more than one g ycompany, each company uses the account in different ways• E.g. The currency used and the tax‐related data in different countries can be different

• Therefore, the general ledger account requires certain company code‐specific data in addition to the COA data

• The typical company code data in general ledger accounts consist of the following elements:• Account currencyT l t d d t• Tax‐related data

• Field status groups• Open item management• Line item display• Reconciliation account data

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• Account currency determines the currency in which all the transactionsAccount currency determines the currency in which all the transactionsare recorded

• Each country has to comply with distinctive tax laws that require it to include different tax‐related data in its general ledger accounts

• The field status group determines both the screen layout for document entry and the status of each field on the screen• The available field status options are suppress, display, required, and optional• If a field is suppressed, then it is hidden; that is, it is not displayed on the screenscreen

• A field with the display status is displayed and cannot be changed• The user must provide data for required fields, whereas data entry is optional for fields with the optional status

• Different field status groups can be defined for different types of accounts

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•Another element in the company code segment of a general ledgerAnother element in the company code segment of a general ledgeraccount is open item management• If open item management is enabled, then each item in the account is marked as either “open” or “cleared”

• An item is designated as open until an offsetting (debit or credit) entry is posted to the account• At that point, its status is changed to cleared

• E. g. When a company ships a product to a customer, the amount owed is recorded in a specific account. This item remains open until the company receives a payment.The payment offsets the open item, which is then marked as cleared.

• Typically, the open item management indicator is set for clearing accounts, which are temporary accounts that hold data until these data are moved to another account

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• Finally, when line item display is enabled, a link to the line items Finally, when line item display is enabled, a link to the line items that are included in account balances is maintained• Line items are the specific debit and credit entries in the account• Maintaining links to the line items is necessary when the company wants to include the specific debit and credit entries in reports

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G/L Master Record (Central View)

• The Central View of the G/L Master Records shows the chart of The Central View of the G/L Master Records shows the chart of account data and the company code specific data

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Account Groups for G/L Accounts

• Account groups are used to organize and manage a large number of g p g g gG/L accounts

• Whenever a new G/L account is created, an account group must be specified for it

• Accounts with the same account group normally have similar business functions• You could, for example, have an account group for cash accounts, one for expense accounts, one for revenue accounts, and one for other balance sheet accounts

• The account groups are assigned number rangesVia the number ranges user can control which account numbers are • Via the number ranges, user can control which account numbers are permissible for cash accounts, expense accounts, etc.

• Account groups also control the appearance of the company code segment ofG/L accounts• That is, account groups control which fields are required for data entry, which fields are optional for data entry, which fields are displayed only, and which fields do not show up at all in the company code segment

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•Accounts in different account groups require different types of data Accounts in different account groups require different types of data when they are used in a company’s general ledger• The data contained in account groups can include dates, tax‐related data, and organizational data

• These data can be designated as either required, optional, display only, or hidden when the accounts are created

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Subsidiary Ledgers

• Some financial data are not directly maintained in the general ledgery g g• E.g. Customer accounts, which track the amounts customers owe and the payments they have made, are maintained separately for each customer. Although it is necessary to track sales and payments separately for each customer, it is not necessary to include each customer account in the general ledger.

• Similarly, data about each vendor and asset, such as an automobile, are maintained in separate accounts. Vendor accounts track purchases from and payments made to them. Asset accounts are used to track the purchase price as well as increases and decreases in the asset’s value over time.

• Such accounts are maintained in subsidiary ledgers or subledgers, and they are not part of the general ledger

l h h d d f h l l d h• Although customer and vendor accounts are not part of the general ledger, the data in these accounts must be reflected in the general ledger

• Companies accomplish this task by posting the data from subledger accounts into special accounts in the general ledger called reconciliation accounts

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Reconciliation Accounts

• Reconciliation accounts are general ledger accounts that consolidate g gdata from a group of related subledger accounts

• Reconciliation accounts connect subsidiary ledgers with the general ledger in real time• This means that a posting to a subsidiary ledger posts to the correspondingreconciliation account in the general ledger at the same time

• The subsidiary ledgers, which are connected to the general ledger via reconciliation accounts, are the accounts payable, accounts receivable, and asset ledgers

• Because the general ledger can include multiple reconciliation accounts, it is necessary to indicate which subledger each reconciliation account is associated with• This information appears in the Reconciliation account for account type field in the general ledger account master data

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• One special characteristic of reconciliation accounts is that it is notOne special characteristic of reconciliation accounts is that it is notpossible to post data directly into them• Rather, data must be posted to subledger accounts, at which point they are automatically posted to the corresponding reconciliation account as well

• Thus, when a company sells products or services to a customer on credit, the amount owed is noted in the customer’s subledger account and is also posted to the corresponding reconciliation account (accounts receivable)

• Likewise, when the company owes money to a vendor for purchases it made on credit, this amount is noted in the vendor’s subledger account and is simultaneously posted to the corresponding reconciliation account (accounts simultaneously posted to the corresponding reconciliation account (accounts payable)

• The balance in the reconciliation account (e. g. accounts receivable and accounts payable) is the sum of the postings in the related subledger accounts (e. g. customers and vendors, respectively)

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Transaction Figures

• A transaction figure describes the total of all postings on an account in g p gdebit or credit

• One transaction figure for debit and one transaction figure for credit are always kept for each account in the SAP system

• The financial statements for the company code are calculated using these transaction figures

• If a G/L account has line item display marked in its master record, usercan drill down from the balance of the account to the line items and then to the documents

• If using business areas, transaction figures are also kept per business area

• If user create a financial statement for the business area, the transaction figures for that specific business area are used to supply information for the financial statements

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Transaction Figures

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Financial Statement Version

• A general ledger is kept in order to provide the information needed to g g p pcreate a balance sheet and a profit‐and‐loss statement

• These reports have to meet country‐specific requirements• IDES, for example, would need to create financial statements based on HGB (Handelsgesetzbuch –German standards) for company code 1000 (Germany), and based on US‐GAAP (Generally Accepted Accounting Principles) for company code 3000 (USA)

• To meet the various reporting requirements, various financial statement versions have to be created in the SAP systemI th fi i l t t t i d fi tl hi h • In these financial statement versions, user define exactly which accounts are to appear in which line items of the financial statement

• Many financial statement versions are included in the SAP system• When running financial statement reports, select a financial statement version that contains the details of the report structure

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Financial Statement Version

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Types of Chart of Accounts

• There are three types of charts of accounts:There are three types of charts of accounts:• Operative COA• Country‐specific COA• Group COA

• The operative or operational COA contains the operational accounts that are used to record the financial impact of an organization’s day‐to‐day transactions• It is the primaryCOA maintained by an organization

• The accounts in the operative COA are mapped to alternative accounts in country‐specific charts of account• Companies create these alternative accounts to meet special country‐specific reporting requirements

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• A group chart of accounts contains group accounts that multiplef

g p g p pcompanies within an enterprise use to consolidate their financial reporting• When an enterprise includes several companies, then, in addition to creatingfinancial statements for each company (company code), it must also createfinancial statements for the enterprise as a whole

• This consolidation is necessary because the enterprise, which is itself a separate legal entity (e. g. parent or holding company), has reporting requirements

• Using a group chart of accounts makes it easy to generate consolidated financial statements• Otherwise the enterprise must rely on more complex methods of • Otherwise, the enterprise must rely on more complex methods of consolidation

• All enterprises must maintain an operative COA in order to record financial data• In contrast, group and country‐specific COAs are optional

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IDES –Operating Chart of Accounts

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IDES –Operating Chart of Accounts• The IDES company codes use the following charts of accounts:The IDES company codes use the following charts of accounts:

• INT is used by company codes 1000, 2000, 2100, 2300, and 6000• CAUS is used by company codes 3000 and 4000• CAFR is used by company code 2200• CAJP is used by company code 5000

• It was particularly important to the IDES board of directors that the European company codes ‐Germany, United Kingdom, Portugal, and Spain ‐ all belong to the same controlling area, since a great deal of activity takes place among these company codes• Therefore, all four company codes had to be assigned to the same operating chart of accounts (INT)

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IDES –Country‐Specific Chart of Accounts•However, in certain countries must report their financial reports to However, in certain countries must report their financial reports to authorities in their countries using the country‐specific chart of their country• In order for it to be possible for external reports to contain the account numbers used in those individual countries, a country‐specific chart of accounts was created for those three company codes

• These country‐specific charts of accounts meet the requirements of the respective countries

• In the company code segment of the master record each G/L • In the company code segment of the master record, each G/L account must be assigned to an account from the country chart of the company code• This is done using the Alternative account number field

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IDES –Group Chart of Accounts

• Because not all company codes of the corporate group use the Because not all company codes of the corporate group use the same operating chart of accounts, a Group Chart of Accounts, CONS, is being used for consolidation purposes

• The operating charts of accounts are assigned to this group chart inconfiguration

• Once an operating chart has been assigned to a group chart, the Group account number field becomes required in the chart of accounts segment of the master record

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Lesson Overview

•Learn how to create G/L postings using both the Enjoy and the Learn how to create G/L postings using both the Enjoy and the traditional complex posting screen

• Analyze the structure of the financial document

• Examine the effects of the postings by analyzing the transactions on the posted accounts and by running the balance sheet

• See how external and internal Accounting are integrated by using cost elements

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Objectives


• Execute G/L postings using the Enjoy transaction screen and the traditional screen for complex posting

• Explain the structure of an accounting document

• Query a G/L account

• Run the balance sheet

• View cost elementsView cost elements

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Accounting Document

•A financial accounting document (FI document) records the impact A financial accounting document (FI document) records the impact (financial data) of a transaction step on financial accounting

• An FI document consists of a header section and a detail or line item section• The header includes data that apply to the entire document, such as document number, document type, various dates, company code, currency used, and a reference number

• A document type is a two‐character code that identifies the specific business process step that generated the documentbusiness process step that generated the document

• Commonly used document types include customer invoice (DR), customer payment (DZ), goods issue (WA), and goods receipt (WE)

• A document type determines the document number range and the account type associated with the posting

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Structure of An FI Document

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Accounting Document

• The detail section typically consists of two line items: a debit item The detail section typically consists of two line items: a debit item and a credit item

• Each line item includes the account number from the generalledger, a description of the account, an indication of whether the account is debited or credited, and the amount• The debit or credit is indicated by a posting key, which is a two‐digit code that determines how a line item is posted

• Specifically it identifies the account type, indicates whether the line item is a debit or credit posting and specifies the field status of additional is a debit or credit posting, and specifies the field status of additional data needed to post the item

• Examples of account types are customer (D), vendor (K), asset (A), material (M), and general ledger accounts (S)

• Examples of additional data are cost centers and business areas

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Posting Keys Examples

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G/L Account Postings

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• Beginning with R/3 Release 4 6, user can comfortably create and Beginning with R/3 Release 4.6, user can comfortably create and post a G/L account document using a one‐screen transaction

• The entry screen is divided into the following areas:• Work templates

• User can select screen variants, account assignment templates, or helddocuments as references

• A held documents is a document that a user saves without posting it, with the idea that the user will complete and post the held document later

• To return to the original line layout of the GL document entry table, right‐click g y y , gon the screen, and choose Reset screen variant

• Header data• Applies to the whole document, such as posting date and document type• Some of the header data can be in display format only, or hidden from the user via editing options

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• The entry screen is divided into the following areas:The entry screen is divided into the following areas:• Line item information

• Here, line items of the document are entered

• Information area• Here, the debit and credit balances are displayed by using a traffic light icon

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G/L Document Entry Enjoy Screen

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Standard/Complex Postings

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Complex or general postings correspond to the old, more difficult p g p g p ,standard posting transaction (t‐code: FB01)• In the initial screen, user enter the data for the document header.Additionally, user enter the posting key and the account for the first line item. The posting key provides the system with information regarding the account type (G/L account, customer, vendor, asset and material) and can influence the layout of the entry screen for the line item, which will be seen in the next screen. The key driver of the layout of the entry screen for the line item is the field status group of the account that is being posted to. User saw the field status group in the company code segment of G/L master records.

h h f k d f ld f h• With this information (posting key and field status group of the account to be posted to), the detailed entry screen for the first line item is set up. When user choose Enter, user proceed to the next screen, which contains the Amount field and Additional account assignment fields for the first line item. This includes, for example, business area, text and Cost Center.

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•At the bottom of the second screen, user enter the posting key and At the bottom of the second screen, user enter the posting key and account for the second line item of the posting. When user choose Enter, user proceed to the third screen, which contains the Amount field and Additional account assignment fields for the second line item. User continue with this same process for all the line items that make up the posting.

• In order to pass information from Financial Accounting to ManagementAccounting, a cost element for the expense account to be posted to must exist A primary cost element can be created to be posted to must exist. A primary cost element can be created automatically when a new G/L account is created. Cost/revenue elements only exist for P&L accounts. User can branch to the cost element from the G/L master record.

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G/L Document Entry Complex First Screen

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G/L Document Entry Complex Second Screen

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Document Types

•Document types are used to distinguish between and order various Document types are used to distinguish between and order various accounting documents easily

• Each document is assigned to one document type, which is entered in the document header

• Document numbers are provided by the document number ranges assigned to one or more document types

• For G/L account postings, document type SA is most often used, although other document types are possible such as although other document types are possible, such as accrual/deferral documents, valuation documents, and so on

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Important Standard Document Types

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Posting Key

•Each line item contains exactly one posting keyEach line item contains exactly one posting key

• Posting key is an instrument that is used for internal control and is entered in the complex posting screen to tell the system:• Which account type is being posted to• Whether the line item is a debit or credit posting

• In the Enjoy transaction, user no longer need to enter the posting key• Instead, debit represents posting key 40 and credit represents posting , p p g y 4 p p gkey 50

• These posting keys appear in the document and their control functions are still relevant

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Posting Key

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Posting Key

• In the SAP system, there are a large number of standard posting In the SAP system, there are a large number of standard posting keys

• Each posting key is used for posting either a debit or a credit to one account type

• For postings in the general ledger, user need only two posting keys:• 40, for debit items• 50, for credit items

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Standard Posting Keys

90

Account Information

• Account information can be obtained at three levels—account balance display, li i di l d i i l FI d

p yline items display, and original FI document

• The balance display and the line item display are provided to display theaccount data

• The Line item display is only possible for G/L accounts for which the corresponding Function has been activated in the master record

• The balance display is an overview of the saved transaction figures of an account

• User can drill down from the balance to a list of the items that make up the balanceF thi li it li t d ill d t th d t t i i thi li• From this line item list, user can drill down to the document containing this lineitem

• From there, user can see the complete transaction by selecting Documentoverview

• If there is an original document for this mySAP ERP document and it was archived optically, user can display it as well

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Account Information

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20/09/2014

24

Account Information

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02 - general ledger accounting

Documents

cashac dr

aliceac dr

salariesac dr

buildingac dr

h e j i d h

tocashac cr

tobobac cr

tointerestac cr