Defining and Assigning Conditions and Flows 

Use

You use conditions to create planned records in the cash flow for postings that will be generated. During periodic posting, these planned records are converted to actual records, that is, postings in Financial Accounting. The condition amounts are thereby posted to the customer or vendor accounts.

Conditions can be used both for real estate contracts and for rental objects.

Procedure

Conditions Tab Page

You can assign conditions when processing a rental object or a real estate contract.

 with the quick info text Proposed Condition(s):

These are all conditions that were either set up in Customizing as default values or conditions that are already assigned to the rental object and are now transferred as defaults to the contract.

                            a.      Default conditions: Conditions that are defined as such in Customizing, and are supplied as default values in the contract and can be copied. Choose:

SAP Customizing Implementation Guide ® Flexible Real Estate Management (Enterprise Extension) ® Conditions and Flows ® Default Conditions

                            b.      Transferred conditions: Conditions from the contract's rental objects can be transferred to the contract if the Def. (Default Purpose for Contract Conditions) indicator is set. To do this, choose:

SAP Customizing Implementation Guide ® Flexible Real Estate Management (Enterprise Extension) ® Conditions and Flows ® Condition Types and Condition Groups ® Condition Purpose

Any conditions that you transfer from the rental object to the contract can still be changed on the contract.

You can also graduate the conditions by choosing  with the quick info text Generate Grading.

Calculation Formulas

Rental unit Y is assigned to contract X. You assign the net condition Basic rent to this rental unit. The measurement of the rental unit is 50 square meters. The following parameters are also set for the condition:

§         Valid from: 01/01/2001

§         Calculation formula: Measurement (in this case, residential space in square meters)

§         Unit price: 10

Result:

Condition Table

No.	Valid From	Cond.Amount	Calc. Factor	Per Month	Per Year
1	01.01.2001	500	50	500	6.000

The system calculates the condition amount valid on the given key date. If the space has been changed over the history of the rental unit, you can display a list of all amounts.

The parameters of a calculation formula depend on the internal calculation formula associated with it.

Distribution Formulas

You have the option of defining for each condition whether transfer postings can be made to the individual objects. This lets you distribute revenues earned (debit-side condition type) and costs incurred (credit-side condition type) to the objects according to cause.

You define the calculation formulas and distribution formulas in Customizing. To do so, choose:

SAP Customizing Implementation Guide ® Flexible Real Estate Management (Enterprise Extension) ® Conditions and Flows ® Calculation and Distribution Formulas

 

For more information on:

§         The real estate contract, see: Processing Real Estate Contracts

§         The rental object, see: Processing Pooled Spaces

§         The vacancy reason, see: Editing a Vacancy Resaon

§         Periodic posting for contracts and rental objects (vacancy)

Dependent Conditions

Definition

Conditions that reference conditions or condition groups of the same contract or rental object, or of other contracts or rental objects.

Examples

·        Conditions apply to the same contract/a different object

¡        Example: rent reduction (20% of another condition is deducted)

·        Conditions relate to a different contract/a different object

¡        Lease-in with dependent sublet contract (for example, rent amount of the rental condition is 120% of the rent amount of the lease-in condition)

¡        Management contracts (depend on lease-out contracts)

¡        Contract condition (depends on object conditions)

·        Condition groups

¡        A contract has three rent conditions; the rent reduction applies to all three (all conditions assigned to this group are reduced)

The calculation formula of the condition type must be:

¡        Share of condition

¡        Share of source condition

Advantages of Dependent Conditions

·        Automatic adjustment of dependent condition

When the source condition (the higher-level condition) is adjusted, the dependent condition is adjusted automatically. With sales-based rents, for example, a maximum rent can be arranged that is based on the minimum rent (double the minimum rent).

·        Simplified administration of rent reductions for multiple conditions by using condition groups.

Reason for Change

If a condition is changed on a contract or rental object, you can enter a reason for the change. Entering a change reason is not mandatory unless you entered change reasons for the condition type in Customizing and a standard reason was not entered.

 

If the change to the condition is the result of an adjustment, then you can make the change reason dependent on the adjustment rule. You can still change the change reason when you execute the adjustment run.

Customizing:

To enter change reasons, choose:

SAP Customizing Implementation Guide ® Flexible Real Estate Management (Enterprise Extension) ® Conditions and Flows ® Reason for Change ® Define Reason for Change