Year End Closing Activities in Sap Fi Co

Download Year End Closing Activities in Sap Fi Co

Post on 03-Nov-2014

94 views

Category:

Documents

0 download

DESCRIPTION

a

TRANSCRIPT

Year End Closing Activities

Year End Closing Activities

Version No : 1.0 Date : 17.03.2009 Consultant-KPIT

Summary Document

Ravikiran S. Kulkarni

Page 1 of 30

Year End Closing

Year End Closing Activities

DOCUMENT RELEASE NOTICE Customer: Electropnumetics Pvt. Ltd. Document details: Activities Involved in Year End Procedure Name Finance and Controlling Version No. 1.00 Description This document explains steps to be followed for closing the Fiscal Year in Finance and Controlling.

Page 2 of 30

Year End Closing

Year End Closing Activities

Table Of Contents Activities In Finance 1. Opening the New Posting Period2.

Copying Number Ranges for New Fiscal Year.

3. Valuation Of Foreign Currency 4. Asset Year Closing i. Capitalization Of Assets Under Construction ii. Depreciation Run iii. Closing the Asset Year and Change the New Year. 5. Carry Forward Receivables and Payables balances 6. Carry forward the GL balances 7. Reports

Activities In Controlling 1. Assessment Run 2. Over Head Run 3. WIP 4. Settlement

Version Management This document is subject to the version management. Each change has to be entered into following table. Version 1.0 Client Electropnumetics Author Ravikiran Kulkarni Date 17.03.2009

Page 3 of 30

Year End Closing

Year End Closing Activities

1. Maintain Opening & Closing Of Posting Periods Transaction Code : OB52

To be changed if you want to close 2009.

To be changed if you want to open 2010.

To open a New Year change fiscal year in column Year (col. After To Period). E.g. if you want to open fiscal year 2010 then change fiscal year as mentioned above. Here we are not yet closing fiscal year 2009. When you want to close fiscal year 2009 for posting then make as mentioned below -: Change year (appearing after col. From per.1 & From per.2) to 2010. This will close year 2009 for posting. Maintain the Periods Close a period by selecting the period specifications so that the period to be closed does not fall within them. The authorization groups for permitted posting periods could be assigned. This means that in month-end or year-end closing for example, you can open some posting periods for specific users only

Page 4 of 30

Year End Closing

Year End Closing Activities

Important Points There must be a minimum entry for each variant. This entry must have + in column. This activity is once in the year and should be done with extreme care.

Version Management This document is subject to the version management. Each change has to be entered into following table. Version 1.0 Client Electropnumetics Author Ravikiran Kulkarni Date 17.03.2009

Page 5 of 30

Year End Closing

Year End Closing Activities

2. Maintain Number Ranges For New Fiscal Year. Transaction Code -: OBH2

Specify intervals of document number ranges are to be copied from one fiscal year into another fiscal year. Enter following details -:

Field Company Code Source Year To Company Code

Description

Example 1100

Fiscal Fiscal year from which number ranges are to 2009 be copied (Previous Year) Fiscal year to which number ranges are to be 2010 copied (Next Year)

Target - To Fiscal Year

Click on

button to execute the transaction

Version Management This document is subject to the version management. Each change has to be entered into following table. Version 1.0 Client Electropnumetics Author Ravikiran Kulkarni Date 17.03.2009

Page 6 of 30

Year End Closing

Year End Closing Activities

3. Valuation Of Foreign Currency Transaction Code -: FAGL_FC_VAL

Enter following details -: Field Company Code Company Code Description Example 1100 Tick Tick 31.03.2009

Valuate Vendor Open Tick Valuate Vendor Open Items Items Valuate Customer Tick Valuate Customer Open Items Open Items Posting Date Reversal Posting Date Posting date of revaluation transaction Posting date for reversal of

revaluation 01.04.2009Year End Closing

Page 7 of 30

Year End Closing Activities

transaction Click on button to execute the transaction Following screen will appear -:

On above screen see that no errors exist. If any error exist then remove that and process as mentioned above again. To generate postings select as mentioned in following screen -:

Page 8 of 30

Year End Closing

Year End Closing Activities

System will generate documents. If you select Reverse postings then system will reverse these posting. Select Create Postings and run in background processing. Valuating Open Items Use When foreign currencies are valuated, all the OPEN ITEMS that were posted in a foreign currency are valuated. The valuation is based on the individual open account items in a foreign currency, that is, each open account item in a foreign currency is valuated individually. Prerequisites 1) Before foreign currencies for open items can be valuated, the appropriate foreign currency postings must exist in the system. 2) The exchange rate table must be maintained (transaction OB08). Version Management This document is subject to the version management. Each change has to be entered into following table.Page 9 of 30 Year End Closing

Year End Closing Activities

Version 1.0

Client Electropnumetics

Author Ravikiran Kulkarni

Date 17.03.2009

Page 10 of 30

Year End Closing

Year End Closing Activities

4. Assets Closing. Steps Involved in Assets Closing i. ii. iii. iv. Settle the Assets Under Construction Execute the depreciation run and update the batch input session Run the fiscal year change in Asset Accounting - This process creates the balance carry forwards for Asset Accounting. Carry out inventory postings

i.

Settlement of Assets Under Construction

Transaction Code -: AIBU

For more details please refer to user manual on Asset Transactions.

Page 11 of 30

Year End Closing

Year End Closing Activities

ii.

Depreciation Run Till March

Transaction Code -: AFAB

Page 12 of 30

Year End Closing

Year End Closing Activities

iii.

Asset Year End Closing

Transaction Code -: AJAB

Before you can close a fiscal year in Financial Accounting from a bookkeeping perspective, you have to carry out preparatory measures in Asset Accounting. PROCESS FLOW You use the year-end closing program to close the fiscal year for a company code from an accounting perspective. Once the fiscal year is closed, you can no longer post or change values within Asset Accounting (for example, by recalculating depreciation). The fiscal year that is closed is always the year following the last closed fiscal year. You cannot close the current fiscal year. Example : Current fiscal year (current date): 1st April 2009 Last closed fiscal year : 2007 [2009 2] You can close fiscal year : 2008 [2009 1]

Page 13 of 30

Year End Closing

Year End Closing Activities

BACKGROUND PROCESSING You have to carry out the year-end closing as background processing for performance reasons. Therefore, start the report as a background job. You can carry out test runs with fewer than 1000 assets in the foreground. CHECKS The system only closes a fiscal year in a company code if The system found no errors during the calculation of depreciation (such as, incorrectly defined depreciation keys). Planned depreciation from the automatic posting area has been completely posted to the general ledger. Balances from depreciation areas that are posted periodically (ie. Not posted online) have been completely posted to the general ledger. All incomplete assets (master records) have been completed. The system lists any assets that do not meet the above requirements in the log of the year-end closing. The log also shows the reason for the errors. REVERSING THE YEAR-END CLOSING [OAAQ] If you closed a fiscal year too soon, and still need to make corrections, you can reset the last closed fiscal year in Customizing for Asset Accounting. Using this function, you can re-open the last closed fiscal year, either for selected depreciation areas in a company code, or for all depreciation areas in a company code. You do this by changing the field for the last closed fiscal year.

Reconcile the asset register balances with the GL accounts balances (ABST2)

When Asset values in the asset master doesnt match with the GL account balances. The above reconcile program is need to be run.

Page 14 of 30

Year End Closing

Year End Closing Activities

Asset Year Change (AJRW)

Put the Company Code and Fiscal Year. Run the same in Test Run and in background processing run take the actual run.

Version Management This document is subject to the version management. Each change has to be entered into following table. Version 1.0 Client Electropnumetics Author Ravikiran Kulkarni Date 17.03.2009

Page 15 of 30

Year End Closing

Year End Closing Activities

5. Carry Forward Customer and Vendor balances This program carries forward the balances for Accounts receivable and Accounts payable. The balances of the previous year are carried forward to the new year. If the account has neither been yet posted in the new year, nor the balance carried forward program has been run for this account, then, account is opened in the new year with the 1st balance carried forward. Otherwise, the balance carried forward of the account is stored in the new year if the result changes. When posting into a previous year, the system carries forward the balance automatically. This is independent of whether the program has already run or not. "posting to a previous year" means that the posting date of the document has an earlier year than the entry date. Procedure : Transaction Code -: F.07

Page 16 of 30

Year End Closing

Year End Closing Activities

Enter following details -: Field Company Code Carryforward to fiscal year Select Customers Select Vendors Test Run Detail log Description Company Code Carryforward to fiscal year Selection for Customer A/cs Selection for Vendor A/cs Test Run For c/f balance Details Example 1100 2009 Tick Tick Tick Tick

Click on to execute. Following screen will appear -:

Page 17 of 30

Year End Closing

Year End Closing Activities

Remove test run and execute to carryforward balance. You can run this transaction as many times as you want.

Version Management This document is subject to the version management. Each change has to be entered into following table. Version 1.0 Client Electropnumetics Author Ravikiran Kulkarni Date 17.03.2009

Page 18 of 30

Year End Closing

Year End Closing Activities

6. Carry Forward GL Balances This program carries forward the balances for G/L accounts. Balances in balance sheet accounts are carried forward to their own accounts for the new fiscal year. The accumulated balance of P&L statement accounts is carried forward to a retained earnings account. If you have not posted items to an account in the new year yet and its balance has not been carried forward either, the system will open the account in the new year with the first carry-forward. Otherwise, it will update the account's carry-forward balance in the new year, if changes have been made. When you post items to a prior year, the system automatically carries forward the balance no matter whether the program was run or not. ("Posted to a prior year" means that the document posting date is in a year prior to the year of the entry date.) This automatic carry-forward, however, does not occur cumulatively over several years. That is, a posting made in January 1993 with the posting date December 1991 changes only the carry-forward balance for 1992, not the carryforward balance for 1993. The following features apply to automatic balance carry-forward: Using an indicator it sets internally, the system can determine whether or not the balance carry-forward program has been run for the fiscal year. For each posting made from that point on, the system will automatically carry forward the balance, even if it is a posting to the prior year. If, for example, the program is started near the end of the current fiscal year, the balance for all further postings is carried forward into the new year. Automatically correcting the carry-forward balance means that no other steps need to made for posting to the prior year after FAGLGVTR is run. This eliminates the need to restart FAGLGVTR after each posting. You can run the program as often as you require. If the program has not been run yet, you can still post items in the new year. When you post items in the new year, the accounts are "opened", but their carryforward balance is zero. Once you make postings to the prior year within the new year, the carry-forward balance will be updated by those postings. The total balance of the items posted in the old year, however, remains in that year. In this case, the

Page 19 of 30

Year End Closing

Year End Closing Activities

carried forward balance represents only the items posted within the new year to the prior year, not the items posted during the prior year. Note: If you find in the new year that a G/L account was mistakenly set up as a P&L account in the prior year instead of as a balance sheet account (or vice versa), you have to rerun program SAPF011 after changing the G/L account master record, so that the balance carried forward is corrected. T. Code -: FAGLGVTR

Page 20 of 30

Year End Closing

Year End Closing Activities

Logs after running the program in test run balance sheet accounts

Version Management This document is subject to the version management. Each change has to be entered into following table. Version 1.0 Client Electropnumetics Author Ravikiran Kulkarni Date 17.03.2009

Page 21 of 30

Year End Closing

Year End Closing Activities

7. Reports Main Reports : GL Account Balances S_ALR_87012277 Totals & Balances S_ALR_87012301 GL Account Line Items S_ALR_87012282 Document Journal S_ALR_870289, S_ALR_87012347. List of Customer Line Items - S_ALR_87012197 Customer Payment History - S_ALR_87012177 Vendor Balances in Local Currency - S_ALR_87012082 List of Vendor Line Items - S_ALR_87012103 Asset History Sheet - S_ALR_87011990 Balance Sheet & Profit & Loss Statement F.01.

The More reports are available in Information System Version Management This document is subject to the version management. Each change has to be entered into following table. Version 1.0 Client Electropnumetics Author Ravikiran Kulkarni Date 17.03.2009

Page 22 of 30

Year End Closing

Year End Closing Activities

Year End Activities Carried in Controlling. 1. Assessment

Kindly refer the user manual for more information.

Page 23 of 30

Year End Closing

Year End Closing Activities

2. Overhead (CO43 for Collective Overhead processing)

For individual processing T. Code CO42 For more details please refer to user manual

Page 24 of 30

Year End Closing

Year End Closing Activities

3. WIP

For more details please refer to user manual

Page 25 of 30

Year End Closing

Year End Closing Activities

4. Settlement

For more details please refer to user manual

Version Management This document is subject to the version management. Each change has to be entered into following table. Version 1.0 Client Electropnumetics Author Ravikiran Kulkarni Date 17.03.2009

SAP FI Month End and Year End Activities1 - Maintain Activity prices - KP26 2 - Release of Standard Cost Estimate - CK40NPage 26 of 30 Year End Closing

Year End Closing Activities

3 - MM period close and open - MMPV 4 - FI period open 5 - Parked documents to be posted - FBV0, MIRO 6 - Reposting of Inter Office CC - KB61 7 - Bank Reconciliation 8 - Update Section Code where missing - J1INPP 9 - Maintain GRIR clearing - F.13 10 - Provision for current month - FB50 11 - Depreciation entry - FB50 12 - Exchange rate - To be Updated 13 - Revaluation of foreign currency open items - F.05 14 - Recognition of Inventory at Bonded warehouse - FB50 15 - Maintain Statistical Key Figures - KB31N/KP46 16 - Variance Calculation of Process Orders - KKS1 17 - Settlement of variances - CO88 18 - Assessment cycles - Aux/WH CC to Main CC - KSU5 19 - Assessment cycles - Functional CC to SBU CC - KSU5 20 - Assessment cycles - SBU CC to COPA - KEU5 21 - Profit Center Reposting - 9KE0 22 - Balance Sheet Adjustment calculation - F.5D 23 - Transfer Profit Center to AR & AP - 1KEK 24 - Transfer Inventory to PCA - 1KEH 25 - Assessment Cycle - Dummy PC to SBU PC - 3KE5 26 - Check for "Delivery made, not Invoiced" - VF03 27 - Match GL and PCA - KE5T 28 - Match PCA and PA 29 - Top Down Distribution in COPA - KE28Page 27 of 30 Year End Closing

Year End Closing Activities

30 - Reclassification of GL balances 31 - Balance Carry forward (Year End Only) - F.16 32 - PCA Balance Carry forward (Year End Only) - 2KES 33 - Transfer to FI - 1KE8Hi BSR, Flow for period end CO activities. RJV's Internal Order Settlement (IO to Cost Center Distribution Cost Center - Assessment Cycles Actual Activity Price Calculation WIP Variance Calculation Settlement. COPA - Assessment Cycles In case you are using Material Ledger with actual costing. 3 Additional T-codes CKMDUVACT Distribution of Activity Differences CKMDUVMAT Distribution of Inventory Diffs CKMLCP Regards, Vikrant Sood Edited by: VIKRANT SOOD on Jan 2, 2010 6:20 PM

1) Transactions: ZACO88 Transfer the expense from the testing/rework order to the corresponding cost center or Internal orders 2) Transactions: KP46 Upload SKF using as tracing factor when Cost allocation 3) Transactions: KSV5 Allocations in Cost Center Accounting are performed to move costs between cost objects (i.e. cost center, order). This step is for Allocate the expense from shared cost center to other cost centers. 4) Transactions: KO8G Settlement the expense from Specific Expense Internal to the corresponding cost centers. 5) Transactions: CO43 Run Overhead Calculation transaction to calculate OH debiting production order/cost collector and crediting cost centers. It is calculated applying a % on current BOM/Routing.

Page 28 of 30

Year End Closing

Year End Closing Activities

6) Transactions: KKS5 Run Variances calculation procedure to have the difference between current BOM/routing and SIC BOM/routing. You need to perform this task to have actual recovery (Actual in SAP terminology) and SIC recovery (Target in SAP terminology) values in PC reporting. Target costs are calculated by the system only after this step multiplying the SIC values and the qty declared. Variance calculation provides you with detailed cost information on production orders. Variances can be calculated in simulation mode (test mode) for a single production order or collectively Variance calculation accomplishes the following: Shows the amount of the variance between the standard costs and the actual costs. Determines the difference between the actual costs debited to the production order and the credit from goods receipts (total variance). Determines production variances and planning variances for informational purposes. Shows the causes of the variances and assigns the variances to different variance categories depending on the cause. There will be corresponding messages for the result of the variance calculation; they need be checked in detail. If there is error message which is caused for Standard Price missing, the standard price for the related SKU must be maintained immediately. 7) Transactions: CO88 Run settlement variances to post in FI the difference between recovery and actual (material consumption, hours and oh at current BOM/routing). You need to perform this task to have on production orders/cost collectors balance = 0 Settlement is based upon: Sender: the production order Receiver: the GL-account After settlement no costs are associated to the production order anymore. Settlement calculation During the production process, production orders are debited with actual costs (confirmations). Each time goods are received into inventory; the system valuates the receipt and credits the production order accordingly. The actual costs posted to the production order can be more or less than the value with which an order was credited when the goods receipt was posted 8) Transactions: KKRC This step is a data preparation for reporting and you need to perform it before run PC reports. Hope it will help you. Regards RaviMonth end closing Activities in Controlling(CO) 1. Calculate Overheads on all process Orders (CO43) 2. Technically complete all process orders which are fully processed (CORM).

Page 29 of 30

Year End Closing

Year End Closing Activities

3. Calculate Variance (KKS1) (Relevant only if Standard cost is calculated). 4. Settle all process orders which are technically complete (CO88). 5. Close All settled Process Orders 6. Close FI Posting period after the month end closing activity is over (T.Code:OB52) 7. Calculate production work in progress on process orders which are not technically complete. (CO88). 8. Carry out Assessment cycle for Cost Centers.(T.Code: KSUB) 9. Carry Forward Balances to next year (With TC: F.16 we can carry forward the balance to next year. With TC: OBH2 copy the number ranges to next year Thanks Para

Maintain the settlement rule of the senderMessage no. KD205

DiagnosisEither the settlement rule for the sender does not exist, or it is incomplete. The settlement rule must contain settlement parameters and at least one valid distribution rule. A distribution rule is valid for a settlement run if

The settlement period is in the validity interval for the rule, and - if a settlement type was specified during settlement The settlement type corresponds to the rule for the specified settlement type. Settlement type FUL -> The system selects all rules with the FUL and PER settlement types. Settlement type PER -> The system selects all rules with the PER settlement type.

The settlement share is set for the rule (percentage, equivalence number).

ProcedureThe settlement rule belongs to the sender master data, where you can maintain it.

Internal order Proceed CO Production order Proceed Project Proceed Cost object

Page 30 of 30

Year End Closing