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Function documentation Payment Term Schema for Cutback 

Use

You can define a payment term schema for a venture that is used by the cutback process to determine the payment terms used in the cutback postings.

 

Complete Payment Term Schema for Cutback Postings

The payment term defined on the venture (that is being processed by cutback) is used in the cutback postings, if a payment term is defined.

The payment term schema defined on the venture (that is being processed by cutback) determines the payment term used in the cutback postings, if no payment term, but a payment term schema, is defined on the venture.

  • The payment term defined on the customer is used in the cutback postings, if no payment term or payment term schema is defined on the venture.
  • If the payment term schema is used for deriving cutback payment terms, the following logic is applied:

You can define payment terms for each recovery indicator (RI) that can be picked up by the cutback process. This payment term will then be used in the cutback posting.

You can define payment terms for each RI and original payment term used in the original posting.

You can call a user exit that changes the payment term assignment of the cutback postings.

 

Prerequisites

Menu Path

On the Display structure menu in the IMG, choose Joint venture accounting

® Processing ® Cutback Control ® Payment Term Schema.

 

There are three maintenance levels for payment term schemas, as follows:

Level 1: Payment Term Schema

Here, you can define and describe the payment term schema.

Level 2: Cutback Payment Terms for RIs

Here, you can define cutback payment terms for each billable RI, as well as a user exit that can be called for derivation of the payment terms. In detail, you can maintain the following fields on this level:

  • RI

  • Cutback processes each billable RI separately. You specify the billable RI here.
  • Cutback Payment Term

  • This payment term is used for all cutback postings that are created based on the billable items posted with the corresponding RI. If no payment term is defined on this level, the next level is checked to determine the cutback payment terms.
  • User Exit Function

  • You can enter a function here that will be called as a user exit, where the cutback payment terms (derived by the standard process) can be modified.
  • Single Item Information Required

  • For performance reasons, the cutback process only reads line item information when the cutback payment terms are derived on the third level. However, if the user exit is used and if it requires line item information, this flag should be activated. This forces the cutback process to read the line item information.

Level 3: Cutback Payment Terms for RI and Original Payment Term

Here, you can define cutback payment terms for each billable RI and payment term assigned to the original posting. You can maintain the following fields on this level:

  • Original Payment Term

  • Each SAP JVA document with a customer or vendor line has payment terms assigned to each line item of this document. Here we define what payment term of the original document this configuration is being made for.
  • Cutback Payment Term

  • This payment term is used for all cutback postings that are created based on the billable items posted with the corresponding RI and original payment term.

 

Features

User Exit Function

On the second level, you can enter a function that will be called as a user exit during the cutback process. This function expects the following input parameters

I_BUKRS

This is the company code that is valid for this call of the user exit.

I_WAERS
This is the currency that is valid for this call of the user exit.

I_VNAME
This is the venture that is valid for this call of the user exit.

I_EGRUP
This is the equity group that is valid for this call of the user exit.

I_T8JV_ITEM
This table contains the SAP JVA line item information that is relevant for the cutback process of this venture and equity group.

I_CB_RESULT
This table contains the partner lines of the cutback document as it has been calculated by the cutback process.

The function returns a table E_CB_RESULT that contains the modified partner lines of the cutback document. You can add or delete lines and assign new payment terms, if the total amount charged to the partners has not been changed and if no new partners are added to the cutback document.

 

Example

Master Data

All examples use the following master data.

Equity group E1 assigned to venture V1 contains the following partners:

Partner

Share

Operator

60 %

Partner A

30 %

Partner B

10 %

Venture V1 is assigned to payment term schema 0001.

RIs B1 and B2 are set up as billable RIs.

 

This graphic is explained in the accompanying text

Original postings

The following invoices were posted during one period. B1 and B2 are billable RIs:

Account

PayTerm

Cost obj.

Venture

EgGr

RI

Amount

Vendor A

PT01

CC1

V1

E1

CP

2,000-

Material

PT01

CC1

V1

E1

B1

2,000

Account

PayTerm

Cost obj.

Venture

EgGr

RI

Amount

Vendor A

PT02

CC1

V1

E1

CP

3,000-

Material

PT02

CC1

V1

E1

B1

3,000

Account

PayTerm

Cost obj.

Venture

EgGr

RI

Amount

Vendor A

PT03

CC1

V1

E1

CP

4,000-

Material

PT03

CC1

V1

E1

B2

4,000

 

With this, the following data is relevant for the cutback process:

Summary

level:

Account

Cost obj.

Venture

EgGr

RI

Amount

Material

CC1

V1

E1

B1

5,000

Material

CC1

V1

E1

B2

4,000

Line item

level:

Account

PayTerm

Cost obj.

Venture

EgGr

RI

Amount

Material

PT01

CC1

V1

E1

B1

2,000

Material

PT02

CC1

V1

E1

B1

3,000

Material

PT03

CC1

V1

E1

B2

4,000

 

This graphic is explained in the accompanying text

Payment Term Schema Definition

Payment term schema 0001 is defined as follows:

PT Schema

RI

Cutback PT

0001

B1

CPT1

0001

B2

CPT2

 

Cutback Postings

Cutback creates separate postings for each RI. Based on the configuration of payment term schema 0001, the cutback postings are made with the following payment terms:

    • Cutback postings made for RI B1 are posted with payment term CPT1.
    • Cutback postings made for RI B2 are posted with payment term CPT2.

This results in the following cutback postings:

Account

PayTerm

Cost obj.

Venture

EgGr

RI

Amount

Partner A

CPT1

CC1

V1

E1

CB

1,500

Partner B

CPT1

CC1

V1

E1

CB

500

Material

 

CC1

V1

E1

CB

2,000-

Account

PayTerm

Cost obj.

Venture

EgGr

RI

Amount

Partner A

CPT2

CC2

V2

E2

CB

1,200

Partner B

CPT2

CC2

V2

E2

CB

400

Material

 

CC2

V2

E2

CB

1,600-

 

This graphic is explained in the accompanying text

Payment Term Schema Definition

Payment term schema 0001 is defined as follows:

PT Schema

RI

Cutback PT

0001

B1

 

0001

B2

CPT2

For RI B1, the payment term schema 0001 has the following additional configuration on RI / payment term level:

PT Schema

RI

Original PT

Cutback PT

0001

B1

PT01

CPT1

0001

B1

PT02

CPT3

Cutback Postings

Cutback creates separate postings for each RI. Based on the configuration of payment term schema 0001 the cutback postings are made with the following payment terms.

Cutback postings made for RI B1 are posted with:

    • Payment term CPT1 if the payment term of the original posting was PT01
    • Payment term CPT3 if the payment term of the original posting was PT02

Cutback postings made for RI B2 are posted with payment term CPT2.

This results in the following cutback postings:

Account

PayTerm

Cost obj.

Venture

EgGr

RI

Amount

Partner A

CPT1

CC1

V1

E1

CB

600

Partner A

CPT3

CC1

V1

E1

CB

900

Partner B

CPT1

CC1

V1

E1

CB

200

Partner B

CPT3

CC1

V1

E1

CB

300

Material

 

CC1

V1

E1

CB

2,000-

Account

PayTerm

Cost obj.

Venture

EgGr

RI

Amount

Partner A

CPT2

CC2

V2

E2

CB

1,200

Partner B

CPT2

CC2

V2

E2

CB

400

Material

 

CC2

V2

E2

CB

1,600-

 

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