The inflation indexes are a key part of the inflation calculation function. They are used in Customizing, posting, and closing procedures.
You maintain inflation indexes in Customizing for Financial Accounting (FI), by choosing Financial Accounting Global Settings → Inflation Accounting → Maintain Inflation Indexes.
As the inflation figures (known in the system asinflation index values) are published, you enter this data in the inflation index. In most countries, inflation indexes are published on a monthly basis, but there are exceptions.
The system allows for:
Once you have maintained your indexes, you enter the general index in the inflation method. If a G/L account is to be adjusted using a specific index, you enter it in the account'sinflation key.
You can assign an inflation index to individual line items as you post them, if you have customized the SAP System accordingly (seeAssigning Specific Inflation Indexes to Line Items).
When you come to run the programs in the Inflation Accounting solution for Financial Accounting (FI), they revaluate each G/L account, line item, and open item using the inflation index assigned to it.
The inflation index consists of header data and values. In addition, you can define multipleversions of each index, although you normally need only define one.
See also:Inflation Index in Asset Accounting (FI-AA) Inflation Index in Materials Management (MM)