Accounting (SAP Library

Accounting

Use

Once you have entered the transactions in the Trading area and checked and completed them in the Back-office area, they are then processed for accounting purposes. The accounting area includes functions for transferring data to Financial Accounting, such as posting reports or position management postings. It also includes functions for performing closing operations.

Features

Transaction

Here, you find the functions for transferring the transaction data to Financial Accounting. When you perform the posting run, you transfer to the Financial Accounting interface the data that is required for posting (such as the document types, the balance sheet accounts or profit and loss accounts you want to use, and the posting keys), along with the flows that have been generated and are to be posted. This in turn generates the related postings and documents. You also find functions for reversing documents, and for releasing or blocking postings (provided you have activated the posting release indicator).

Payments

The Manual Posting function enables you to enter posting activities that occur at irregular intervals or at a later date.

The Automatic Posting enables you to process flows automatically if they occur at regular, predefined intervals for previously fixed amounts. Typical activities include posting interest, dividend or repayment flows, in other words, the flows generated by the conditions.

You can also use the incoming payments function here to post dividends, interest, repayments, etc., and to process Payment Requests that have been generated.

The reversal function allows you to reverse the following postings:

Automatic postings

Incoming payments

Manual postings

Securities account transfers

Exercising rights

Balance sheet transfers and corporate actions

To manage the positions of your securities, the accounting area also includes posting and reversal functions for balance sheet transfers and Corporate Actions.

The Balance Sheet Transfer function transfers securities positions between G/L accounts in Financial Accounting. You can do this at company code position level or securities account level for all the securities accounts with the same account assignment reference.

Closing operations

The Period-End Closing function enables you to close the period for selected positions affected by the postings, and to post any resulting price gains/losses.

You have to perform Interest Accruals/Deferrals to assign expenses and revenues to the correct accounting period.

You use the Reverse Accrual/Deferral function to reverse accruals/deferrals that have been posted. You use the Reset Accrual/Deferral function to reset accruals/deferrals that were accrued/deferred using the reset procedure.

The Key Date Valuation function enables you to value your positions on any given key date.

The Amortization function determines the new book value for a securities position by calculating the net present value on the key date. It compares the net present value calculated with the current book value in the system and generates the corresponding interest capitalization flow for the difference.

You use the Rate/Price Valuation function to value the rates/prices of positions on any given key date for accounting purposes. It compares the acquisition value including the capitalized costs and the previous write-ups/write-downs (= book value) with the market value of the security on the key date. It then calculates the new book value according to the write-up/write-down rules defined in the valuation principle.