Encyclopedia Archive - Page 3 of 3 - BPX

Credit Memo Request

Credit Memo Request is a document used to create Credit Memo. Before the credit memo is created in the system, the Credit Memo Request should be created (with ref. to the sales order). Credit Memo Request is a place where we can define the values before and after correction, enter the reason for the request, the data to be corrected and then save the document. Credit Memo Request does not generate any account postings and it can be used to verify the Credit Memo Request before Credit Memo is created. As long as the person responsible does not approve the Credit Memo Request for further processing, it can be blocked for billing. Only after unblocking Credit Memo Request we have an ability to create Credit Memo with account postings.

Credit Management / Credit Limit Check

Credit Management allows to impose a credit limit up to which the business partners can place orders. It is able to define what consequences a negative check should have (e.g. block further orders or block partner account).

Cost element

Indicates the origin of incurred costs. There are two types of costs elements: primary and secondary.

Cost center standard hierarchy

Tree structure representing all cost centers belonging to a controlling area. It is based on the company’s structure.

Cost center

Indicates the origin of incurred costs. It is used to collect costs at different levels of organisational structure.

Copy control

Copying Control allows you to create different types of documents (orders, deliveries, invoices) in reference to the other. Setting this configuration are useful for SAP users who do not need to repeat copied parameters to target document anymore.

Controlling area

Controlling area is an organizational unit separated from operating concern. It may contain one or more company codes. All company codes assigned to the same controlling area must have the same Chart of Accounts.

Company code

The smallest organizational unit for which you can create a separate accounting principles. Defined at least one entity in the SAP system is mandatory.

Chart of accounts

List of all general ledger accounts used in the system. Each account has a number, descripption, information about type of account and field status variant, that determines the information supplemented while posting on the GL account.

Characteristics

Criteria used in Profitability Analisys (CO-PA) in analysis of the company’s operating results.  The combination of the characteristics values is called a Profitability Segment that provides information about products, clients, sales etc. Characteristics are essential in entity’s profitability analysis.

Billing / billing document

After saving the sales invoice, SAP creates a background billing document in FI automatically.

Bill of Material (BOM)

A list of all materials with their corresponding amount, which is needed in the process as inseparable whole. All those materials are the structure of finish good.

Basic funcionality

The basic functionality provided by this module are:

  1. the possibility of recording economic events from the perspective of the group as well as a single unit,
  2. automatic real-time accounting of all related modules,
  3. reports based on the current data available at the time of report generation.

Availability check

Availability check can be defined in various documents, e.g. at the level of the sales order or delivery. Availibility check can include inventory availability, receipts, issues, production planning and inventory replenishment time. Availability control takes place at the level of the plant, but it can also include warehouses level.

Automatic Payment

Automatic payment program allows you to automatically generate invoices transfers cost for suppliers.

Assessment cycle

A process executed at the end of a period, used to allocate primary and secondary costs to SAP CO objects. Senders are debited with a secondary cost element. Costs allocated with an assessment cycle cannot be settled with a distribution cycle. Assessment cycle uses less system data due to the fact that the information sent across between senders and receivers of the cycle is less detailed.

Activity type

Activity type represents activities performed within a company by cost centers.

Activity allocation

Activity allocation is a process of allocating internal business services cost with a usage of an activity type.

Accounts Receivable FI-AR

SAP FI area, where there is a record of economic events arising from the relationship with customers.

Accounts Payable FI-AP

SAP FI area, where there is a record of economic events arising from the relationship with vendors.