Integration Between SD and FI-CA in the Same System and Client

If you are using Sales and Distribution (SD) and Contract Accounts Receivable and Payable (FI-CA) in the same system and the same client, you can integrate them by:

Activating direct posting of SD billing documents in Contract Accounts Receivable and Payable based on the customer account groups in Customizing
Transferring SD billing documents to invoicing of the industry component Utilities (IS-U) or to invoicing in Contract Accounts Receivable and Payable
This transfer is made using sample documents that are based on billing category U (billing request) of the billing type.
Activating the automatic transfer of SD billing documents to invoicing in Contract Accounts Receivable and Payable
This transfer is based on the customer account group and the billing type; the Accounting Interface in Sales and Distribution is run through during the transfer, but no direct postings are made. Instead of a posting document, the system generates a special invoicing order that can be processed in invoicing. During invoicing, the system derives postings in Contract Accounts Receivable and Payable for the SD billing documents and - as necessary - clears down payments. After the transfer, you can:
- Track the further processing steps in Invoicing in Contract Accounts Receivable and Payable in the document flow of Sales and Distribution
  The invoicing order is displayed as a follow-on document for the SD billing document. Using the navigation to the document display for the invoicing order, you can go directly to the monitoring of the invoicing orders in invoicing. Once the invoicing order has been processed, then the system displays the invoicing document (instead of the invoicing order) as well as the posting document in FI-CA as follow-on documents.
- Print the invoicing order for an SD billing document together with the invoicing orders of other source processes in one common invoice
- Use the central functions of Contract Accounts Receivable and Payable on open items that were created in invoicing from SD billing documents
  That means that you can include open items arising from SD billing documents in various processes of Contract Accounts Receivable and Payable: dunning, interest calculation, and automatic and manual account maintenance. The system treats open items that were created in invoicing from SD billing documents the same as all other open items of a contract account.
Note
If you update Profitability Analysis (CO-PA) directly in the RWIN interface (for example, during direct posting to FI-CA without using invoicing), the system determines the value fields dependent on the condition type.

If you update Profitability Analysis (CO-PA) in FI-CA (for example, during processing of SD billing documents in invoicing), the system determines the value fields dependent on the cost element.

End of the note.

Prerequisites

If you want to transfer SD billing documents to Contract Accounts Receivable and Payable, you have to make various settings in Customizing for both Contract Accounts Receivable and Payable and Sales and Distribution.

For each account group, you define whether billing documents are to be transferred to Accounts Receivable Accounting (FI-AR) or to Contract Accounts Receivable and Payable (FI-CA). In the account group, you specify whether the customers are transferred to Accounts Receivable Accounting (FI-AR) or FI-CA during SD billing.

Prerequisites in Sales and Distribution

You have specified the receivables accounts for Contract Accounts Receivable and Payable in the reconciliation account determination in Sales and Distribution (see Customizing for Sales and Distribution under Basic Functions Account Assignment/Costing Reconciliation Account Determination ). It is especially important that you entered a G/L account with reconciliation indicator V (Contract Accounts Receivable and Payable) in the activity Assign G/L Accounts.
When entering an SD order, you must select a contract account. This contract account must be assigned to the FI-CA business partner. If there is only one contract account for the payer, this contract account is transferred automatically to the order.

Prerequisites in Contract Accounts Receivable and Payable

If you create a business partner for the customer in FI-CA, then you have to enter an SD sample customer so that the SD views required for creating the order can be created in the background. The system creates an SD customer with a customer number identical to that of the FI-CA business partner.
Direct posting of SD billing documents in FI-CA takes place at the level of the customer account group. This means that for each account group, you define whether SD billing documents for these customers should be transferred to Accounts Receivable (FI-AR) or to Contract Accounts Receivable and Payable (FI-CA). (See Customizing for Contract Accounts Receivable and Payable under Integration Sales and Distribution Define Posting to FI-CA for Customer Account Groups .)

Note
Note that when you create an order you can only enter customers from one of the two account groups as being the payer. This means that you can use either only customers that trigger a posting in Accounts Receivable during invoicing, or only customers that trigger a posting in Contract Accounts Receivable and Payable.

Note that it is not possible to activate the SD/FI-CA transfer for one-time account groups.

End of the note.
You make specifications for the transfer to invoicing in Customizing for Contract Accounts Receivable and Payable under Integration Sales and Distribution Define Posting to FI-CA for Customer Account Groups and under Define Settings for Transfer to Invoicing. As an alternative, you can make these settings in Customizing for Sales and Distribution under Billing Billing Documents Integration with Contract Accounts Receivable and Payable (FI-CA) .
The system derives the main and subtransactions used in Contract Accounts Receivable and Payable from the SD billing documents during the transfer based on your Customizing settings. (See Customizing for Contract Accounts Receivable and Payable under Integration Sales and Distribution Derive Main/Subtransaction from SD Information .)
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The system also derives the document type with which SD billing documents are posted in Contract Accounts Receivable and Payable during the transfer of the SD billing documents based on your Customizing settings. (See Customizing for Contract Accounts Receivable and Payable under Integration Sales and Distribution Derive Document Type from SD Billing Doc Data ).
Using event 4000, you can enrich the billing data. (See Customizing for Contract Accounts Receivable and Payable under Program Enhancements Define Customer-Specific Function Modules .)

Features

Automatic Reconciliation Key Determination

The system automatically determines the reconciliation key during the transfer of SD billing documents. This function is the same for individual billing documents and mass runs. In both SD billing methods, the reconciliation key is assigned according to the same procedure. The reconciliation key consists of the following parts: SDxxxxyyy_zz. The individual parts of this key are explained in the table below:

Part of Key	Meaning
XXX	Current year
YYY	Current day in year
ZZ	Sequence number

The system assigns a new reconciliation key for SD billing documents for each day of the year. If this reconciliation key is closed during the course of the day, or if two processes try to open the same reconciliation key simultaneously, a new (second) reconciliation key is opened with the next higher sequence number. Reconciliation keys generated in this way are only allowed for posting SD billing documents. The reconciliation key is not closed automatically.

Automatic Determination of Reconciliation Account for SD Billing Documents

The system automatically determines the reconciliation account when creating the SD billing documents for Contract Accounts Receivable and Payable based on your Customizing settings. (See Customizing for Sales and Distribution under Start of the navigation path Basic Functions Next navigation step Account Assignment/Costing Reconciliation Account Determination End of the navigation path ).

Reconciliation Account Determination for Down Payment Requests in SD

During the transfer of SD down payment requests (billing documents) to Contract Accounts Receivable and Payable, event 1101 is run to determine the reconciliation account.

The industry components Utilities and Telecommunications (IS-UT) execute function module ISU_EVENT_1101 (see posting areas R000 and T000).

The industry component Contract Accounts Receivable and Payable (FI-CAX) executes the function module FSC_EVENT_1101 (see posting area S000).

In each of the mentioned posting areas, you have to enter a G/L account with reconciliation indicator V (Contract Accounts Receivable and Payable).

Default Value for Terms of Payment

In the SD order, the default value for terms of payment is derived from event 4010 in Contract Accounts Receivable and Payable, provided that a corresponding function module has been defined in this event. If no function module has been defined or if no default value can be found, then the system determines the terms of payment in the standard SD manner.

For the industry components Utilities and Telecommunications, a function module has been defined in event 4010 in Contract Accounts Receivable and Payable. This function module determines the default value for the terms of payment from the contract account named in the order header. Depending on the order type, it determines either the terms of payment for incoming payments or for outgoing payments, using the relevant terms of payment defined in the contract account.

Contract Account in the Order

The Contract Account field is available as an input field for Contract Accounts Receivable and Payable in the header and items in the SD order. The SD business partner, for whom the contract account is specified, is the payer of the order. If there is only one contract account for the payer, this contract account is transferred automatically to the order. If there is more than one contract account, a dropdown list appears when you create an order. You can enter a separate combination of payer and contract account for each order item. The billing documents are then split for different contract accounts.

The contract account from the accounting viewpoint has to be entered in the order header.

From the Accounting viewpoint, the following input fields are not considered during the transfer to Contract Accounts Receivable and Payable:

Dunning Key
Dunning Lock
Payment Method
Assignment

In event 4040, you can restrict the selection of contract accounts available when you create and change SD orders.

Contract Object in the Order

Note Note

Note that this is only supported for the industry Public Sector.

End of the note.

You can also make the Contract Object field available as in an input field in the SD order. To do so, you make the necessary settings in Customizing for Contract Accounts Receivable and Payable under Start of the navigation path Integration Next navigation step Sales and Distribution Permit Contract-Referenced Postings from SD End of the navigation path . After you make this entry, the contract object appears in the header data on the Accounting tab and in the items on the Billing Document tab for the order (similar to the contract account).

When you create a customer order, after entering the business partner, you can select a combination of contract object and contract account. Or you can choose the contract object using the input help.

The system runs a check when a contract object is entered. If the contract object you entered does not exist, you can create it.

The contract object is adopted by subsequent documents (usually billing documents).

When the billing document is released for accounting, then the contract object is adopted by the FI-CA document.

Business Area Determination

In the SD order, the system derives the default value for the business area using event 4020 of Contract Accounts Receivable and Payable, provided that a corresponding function module has been defined in this event. If no function module has been defined or if no default value can be found, then the system determines the business area in the standard SD manner. For the industry components Utilities and Telecommunications, separate function modules have been defined for each component that determine the default value for the business area from the contract account specified in the order header.

Restriction on the Terms of Payment That Can Be Used

Due to the payment control in Contract Accounts Receivable and Payable (due date for cash discount + discount% / due date for net payment), you cannot use all standard FI terms of payment. The following constraints apply:

Only one cash discount date can be defined. The second cash discount date is interpreted as being the net due date and must have 0.00 as the discount percentage rate.
The terms of payment must be defined for the entire month and be valid throughout this period.
Terms of payment for installment payments are not supported.
It is not possible for you to use the feature of the industry component Utilities of using a factory calendar to convert terms of payment to the corresponding due dates.

A check is made to ensure that payment terms are suitable for use with Contract Accounts Receivable and Payable. This check is made during assignment of the payment terms in the sales area data (customer billing), and also when the SD order is created.

Reconciliation of Profitability Analysis (CO-PA) and General Ledger Accounting (FI-GL)

Reconciliation between the individual components can only be made for closed posting periods and for points in time at which all Contract Accounts Receivable and Payable reconciliation keys have been transferred completely to the general ledger.

Completing a Document

The system enriches the customer line items of the SD billing document that is transferred to the Accounting Interface with the following information:

General information (for example, reference details)
Information from the contract account (for example, account determination ID)
Information on main and subtransactions for each company code and division (such as dunning, interest, or payment)

The business partner items in Contract Accounts Receivable and Payable are created from the customer line items.

The information is derived using event 4000, which is called to enrich customer items and G/L account items.

The main and subtransactions of an FI-CA document are determined in event 4030. In this event you have access to all of the information in an SD billing document, which means that a more detailed transaction determination is possible here, in contrast to Customizing.

Down Payment Requests or Clearing

You can use the functions implemented in Sales and Distribution for creating down payment requests from billing plans as well as for the subsequent down payment clearing for down payments made.

Installment Plan

The system can create installment plans automatically. For it to do so, call function module FKK_INSTSD_WRITE in event 4000 and fill the structure I_INST. For example, you can fill it with various installment plan categories dependent on your own customer-specific definition (such as the billing type).

Invoicing External Transactions

You can use the function for invoicing external transactions. For using this function, the contract account must also be supplied in the communication structures.

Reversal of SD Billing Document

When cancellation billing documents are transferred to accounting, the accounting documents that arise are flagged as reversed and the open items are cleared immediately. If this cannot be done, an accounting document is created with the positive/negative signs reversed. This may occur, for example, if the invoice has already been cleared or if the payment order has already been created.

No Reversal of SD Billing Document in the Case of Subrogation

If the receivables (open items) are transferred when a customer is changed, the SD billing document can no longer be reversed after that point. The billing document cannot be reversed, since the open item(s) were cleared in Contract Accounts Receivable and Payable with reason 21 (Subrogation).

Displaying FI-CA Documents

In the document flow for Sales and Distribution, you can display FI-CA documents and archived FI-CA documents.

Enhancements for Argentina

The interface between SD and Contract Accounts Receivable and Payable meets special requirements in Argentina. For more information, see SAP Note 211917.

Reconciliation Between Sales and Distribution and Contract Accounts Receivable and Payable

There is a report you can use for reconciling FI-CA documents and SD billing documents. On the SAP Easy Access screen, choose Start of the navigation path Periodic Processing Next navigation step Reconciliation of Documents with Source Data Reconciliation with SD Billing Documents End of the navigation path . The report determines the differences between SD billing documents and FI-CA documents, and displays an overview of the SD billing documents and the print documents and FI-CA documents generated from them. For more information, see the report documentation.