Amount Limit Checks in Interest Calculation
Use
Since interest, and in particular, debit interest, is only to be posted and requested when the expense is justified, the system checks the amount limits.
Integration
The amount limit check is integrated into the
Determining and Posting Interest
process flow and thereby into all other business transactions in which interest is posted.
Features
The check for amount limits is industry- or customer-specific and can also be integrated if required (see Implementation Guide for
Contract Accounts Receivable and Payable
Business Transactions
Interest Calculation
Item Interest Calculation
Maintain Amount Limits for Debit/Credit Interest
). If you do not make any settings, the amount that is the total of all interest items for a company code is compared with the amount limit defined in the system settings. Interest is only posted if the amount of all the interest items exceeds the amount limit. The check is company code-specific.
Note
Note for the application component
Utilities
The amount limit is not checked for Cash Security Deposit Interest or Installment Plan Interest , but is checked for overdue interest on an installment plan. Cash security deposits are posted according to legal instructions; installment plan interest is always determined online when an installment plan is created, which allows the clerk to decide whether interest will be posted or not.