Subsequent Processes of Document Splitting 

Use

Document splitting supports certain subsequent processes whereby document splitting characteristics are transferred from the original process to the subsequent process. The split document lines are then transferred to Controlling, for example. This means: If items relevant to CO are posted in the subsequent processes, the CO account assignments can also be transferred from the original process into these lines. In this way, the lines and the account assignments are transferred into Controlling.

Integration

You can transfer the split document lines to all other application components for subsequent processes as well as to other programs or interfaces. In this documentation, we use Controlling (CO) as an example of one of these other components.

Prerequisites

You have made the settings for document splitting in Customizing. The settings in the Implementation Guide for Financial Accounting (New) in the following IMG activity in particular are mandatory for the subsequent processes:

General Ledger Accounting (New) ® Business Transactions ® Document Splitting ® Define Document Splitting Characteristics for Controlling.

Here you specify which additional characteristics you want to apply in document splitting. The additional characteristics are not relevant for General Ledger Accounting. Instead, they are relevant for components in Controlling that use documents transferred from General Ledger Accounting.

The selected characteristics are only transferred to the specified line items when the account to which the postings are to be made can also take the characteristics. This means that CO account assignments are only transferred when the account has also been set up as a cost element.

Foreign Currency Valuation

For this, go to the Implementation Guide for Financial Accounting (New) and choose General Ledger Accounting (New) ® Periodic Processing ® Valuate ® Foreign Currency Valuation ® Prepare Automatic Postings for Foreign Currency Valuation.

Check account determination for the transaction Exchange Rate Difference, in particular for foreign currency valuation. Ensure that the accounts for expenses and revenue are created as cost elements for the area Valuation.

Features

Subsequent process: Clear

·        You can use document splitting to post any realized exchange rate differences, cash discounts, and penalty interests that arose during the subsequent process Clear (or partial payments) along with the CO-relevant account assignments where they arose. These lines can be split according to the specified document splitting characteristics. The prerequisite for this is that the open item to be cleared has been split according to the corresponding offsetting lines.

·        If, at the time of clearing, an asset is able to be posted, you can also subsequently capitalize the cash discount amount to the asset online (see also Define Post-Capitalization of Cash Discount to Assets“ under Making Settings for Document Splitting).

·        You can also transfer CO-relevant account-assignments across document chains.

For more information and examples of postings, see Example: Document Splitting for Realized Exchange Rate Differences. The system posts cash discounts in the same way as described in the example for realized exchange rate differences.

Subsequent process: Closing operations

You can use document splitting to perform closing operations on the basis of the defined document splitting characteristics. Before posting the valuations, the system summarizes them for each document splitting characteristic or combination of characteristics. The following functions are affected by document splitting:

·        Valuation of Open Items in Foreign Currency

In foreign currency valuation, you can transfer account assignments of the item to be valuated to the valuation document. If you have defined additional document splitting characteristics (see "Prerequisites" above) for Controlling, the account assignments of these characteristics are posted to the expense and revenue account.

The line item to be valuated must also be entered in accordance with where the expenses/revenues occurred.

·        Valuation of Foreign Currency Balance Sheet Accounts

On the basis of the current account balance of the account to be valuated, the system takes the document splitting characteristics relevant to general ledger accounting and transfers them to the corresponding posting item of the document.

For examples of postings, see Example: Document Splitting in Foreign Currency Valuation.

·        Sorted Listand Individual Value Adjustment

With the sorted list, the system takes the document splitting characteristics from each item concerned and assigns them to the corresponding posting items.

·        Customers in Credit and Vendors in Debit

The system determines the balances of the customers and vendors by company code and account. During posting, the account assignments are made on the basis of the account balance determined.

For examples of postings, see Example: Document Splitting for Reposting Customers in Credit.