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  EA-FIN: Down Payment Chains and Construction Progress Report

Down payment chains and the construction progress report (CPR) are a part of the Financials Extension (EA-FIN) business function.

Technical Data

Technical name of the business function

EA-FIN

Type of business function

Enterprise Extensions

Documentation based on release

SAP ERP 6.0

SAP software component

EA-APPL

SAP application component

PS-REV-CPR, FI-AF-DPC

Portal content

Not relevant

Additional content available in other SAP applications

Not relevant

Business function requiring activation in addition

Not relevant

Use

This business function provides you with down payment chains and the construction progress report (CPR) for the construction industry.

Prerequisites

If you activate Enterprise Extension EA-FIN, you can use down payment chains and the construction progress report.

Features

Down Payment Chains

Down payment chains are used in long-running projects.In the construction industry in particular, projects can take several years to complete.

With a debit-side down payment chain , you can monitor receivables for a customer, such as the sold-to party of a construction project, and obtain information about past and future incoming payments.

The purpose of a credit-side down payment chain is to monitor payables for subcontractors or vendors and obtain information about past and future outgoing payments.

Using down-payment chains has the following advantages:

  • You save time on data entry

  • Less processing errors

  • Quicker overview

  • Better controlling of long-term accounting processes

More information:

For information about down payment chains, see SAP Library under Start of the navigation path SAP ERP Central Component Next navigation step Accounting Next navigation step Financial Accounting Next navigation step Accounts Receivable and Accounts Payable(FI-AP/AR) Next navigation step Debit-Side and Credit-Side Down Payment Chains End of the navigation path .

Construction Progress Report

You use the construction progress report and remaining plan to report values for work completed at certain points in the project. You can also update contract values, and plan the costs and revenues that are still expected to be incurred (remaining plan).

Based on the construction progress report and remaining plan, you determine assets and reserves for imminent loss for the balance sheet display by valuating semi-finished constructions.

More information:

For information about the construction progress report, see SAP Library under Start of the navigation path SAP ERP Central Component Next navigation step Accounting Next navigation step Project System (PS) Next navigation step Revenues and Earnings Next navigation step CPR and Valuation of Semi-Finished Constructions End of the navigation path .