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Commitment Items

In this step, you create the commitment items for Project Cash Management. Commitment items contain the parameters which control how payment data is recorded. It is attributed by means of the item category and financial transaction. The item category differentiates the values by inventory, revenues, and expenditures. The financial transaction reproduces commercial transactions and has a central role in recording payment data. Only type 30 financial transactions are recorded in Project Cash Management.

You can create the commitment items yourself or have the system create them automatically.

For reporting and interest calculation purposes, you must then group the commitment items into value categories.

Note

If you are using FI or TR, or plan to implement them, you should bear this in mind when defining your commitment items.

Recommendation

We recommend you have the system generate the commitment items, provided the prerequisites are satisfied. This method has the following advantages:

The system creates the commitment item and enters it in the appropriated G/L account.
Configuration errors can be avoided because the system creates the financial transaction and item category attributes. It creates the default values for these attributes using, among other things, the information in the G/L account and cost element.

Further Notes

Check the attributes once they are created. The system can only maintain the commitment item attributes correctly if the information, such as G/L account attributes, is correctly maintained.

Check that the attributes are set as follows:

G/L account description Financial transaction
Bank accounts, cash Financial transaction 90
Payables and receivables Financial transaction 60
Goods receipt accounts Financial transaction 40
Controls of all kinds Financial transaction 30
Special ledger accounts for down payments Financial transaction 30
Down payment request account Financial transaction 30
Revenues and expenditures in profit accounts Financial transaction 30

The following general principles apply: