CHAPTER 7 ACCOUNTS RECEIVABLES
Table of Contents
1
1.1
Introduction ....................................................................................................... 2
Creation of GL Account required for Accounts Receivables ............................... 2
2
2.1
2.2
2.3
2.4
2.5
Configuration Settings...................................................................................... 2
Define Accounts Groups (Customers) ................................................................ 2
Create number ranges for Customer Accounts ................................................... 4
Assign Number ranges to Customer account groups .......................................... 4
Define Account Cash Discount Granted ............................................................. 5
Define Reconciliation Account for Customer Down payments ............................ 6
3
3.1
3.2
Payment terms OBB8........................................................................................ 7
Create a Payment Term ...................................................................................... 7
Create a Instalment Payment Term .................................................................... 8
4
4.1
4.2
4.3
Customer Master data Creation ....................................................................... 9
Create customer master- General data ............................................................... 9
Create customer master- Company code data ................................................. 10
Customer master Segments ............................................................................. 11
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CHAPTER 7 ACCOUNTS RECEIVABLES
1
Introduction
The Accounts Receivable application component records and manages accounting data of all
customers. It is also an integral part of sales management.
All postings in Accounts Receivable are also recorded directly in the General Ledger.
Different G/L accounts are updated depending on the transaction involved (for example,
receivables, down payments). The system contains a range of tools that you can use to
monitor open items, such as account analyses, alarm reports, due date lists, and a flexible
dunning program. The correspondence linked to these tools can be individually formulated to
suit your requirements. This is also the case for payment notices, balance confirmations,
account statements, and interest calculations.
1.1
Creation of GL Account required for Accounts Receivables
Before starting the configuration of Accounts Receivables, let us create GL accounts required
for Accounts Receivables. Go to transaction FS00 and create below GL accounts.
Configuration Settings
The FI-AR module is implemented for the following company codes:
1009 ABC Electronics Inc
2.1
Define Accounts Groups (Customers)
Via Menus
IMG Financial Accounting (New) Accounts receivable and
Accounts payable Customer Accounts Master data Preparations
for creating customer master data Define Accounts Groups with
screen layout (Customers)
Via Transaction Code
OBD2
Click on
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CHAPTER 7 ACCOUNTS RECEIVABLES
Click on
Note: Similarly, we can create many customer groups based the requirement.
Click on General data and Double Click on any of the Groups.
Here we can select status for any field of Customer master to Suppress or Required or
Optional or Display
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CHAPTER 7 ACCOUNTS RECEIVABLES
2.2
Create number ranges for Customer Accounts
Via Menus
IMGFinancial Accounting (New) Accounts receivable and
Accounts payable Customer AccountsMaster data
Preparations for creating customer master data Create number
ranges for Customer Accounts
Via Transaction Code
XDN1
Click on New Entries
Click on
to add new number ranges.
Click on
to add a new interval
Click on
2.3
and
to save the entry. Ignore messages if any
Assign Number ranges to Customer account groups
Via Menus
IMG Financial Accounting (New) Accounts receivable and Accounts
payable Customer AccountsMaster data Preparations for creating
customer master dataAssign number ranges to Customer account
groups
Via Transaction Code
OBAR
Select
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2.4
Define Account Cash Discount Granted
Via Menus
IMG Financial Accounting (New) Accounts receivable and
Accounts payable Business Transactions Incoming Payments
Incoming Payments Global settings Define Accounts for Cash
Discount Granted
Via Transaction Code
OBXI
Give your chart of Accounts and Press ENTER
Select
and give Cash Discount granted GL Account
Select
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CHAPTER 7 ACCOUNTS RECEIVABLES
2.5
Define Reconciliation Account for Customer Down payments
Via Menus
IMG Financial Accounting (New) Accounts receivable and Accounts
payable Business Transactions Down Payments Received Define
Reconciliation Accounts for Customer Down Payments received
Via Transaction Code
OBXR
Double Click on Down Payments (SGL Indicator A)
And Give Customer Reconciliation account and Alternate Reconciliation Account (Down
payment Account)
Select
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CHAPTER 7 ACCOUNTS RECEIVABLES
3
Payment terms OBB8
3.1
Create a Payment Term
Via Menus
IMG Financial Accounting(New) Accounts Receivables and Payables
Business transactions Incoming Invoices/Credit Memos Maintain
terms of Payments
Via Transaction Code
OBB8
Click on
Give required details and Press ENTER, then you can see that the explanations are auto
populated.
Click on
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CHAPTER 7 ACCOUNTS RECEIVABLES
3.2
Create a Instalment Payment Term
Via Menus
IMG Financial Accounting(New) Accounts Receivables and Payables
Business transactions Incoming Invoices/Credit Memos Maintain
terms of Payments
Via Transaction Code
OBB8
Click on
Save
Via Menus
IMG Financial Accounting(New) Accounts Receivables and Payables
Business transactions Incoming Invoices/Credit Memos Maintain
terms of Payments for instalment payments
Via Transaction Code
OBB9
Click on
Enter the payment term under which we are creating instalments as percentage. Give
payment terms applicable to each instalment in the last column.
Click on
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CHAPTER 7 ACCOUNTS RECEIVABLES
4
Customer Master data Creation
4.1
Create customer master- General data
Via Menus
Accounting Financial Accounting Accounts receivable Master
records Create
Via Transaction Code
Click on
FD01 or XD01
to select Customer Group
Input Account Group and company code and press enter
Enter address and press enter.
Data entered in all these 4 tabs is general data as required.
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4.2
Create customer master- Company code data
Click on
Enter Recon. Account and sort key
Enter terms of payment
Select
Message:
10
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CHAPTER 7 ACCOUNTS RECEIVABLES
4.3
Customer master Segments
Customer master has 3 segments as below:
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CHAPTER 7 ACCOUNTS RECEIVABLES
Reconciliation account:
It is the link between GL and AR sub ledger. It is always a required field
Sort Key:
When we display the FBL5N report, by default the report is sorted based on the sort key in
the master data. It can be posting date, document date, document number etc.
Payment terms:
Whether a payment should be made immediately or within 30/60/90 days is designed through
payment terms.
Payment block:
For some reasons, if we do not want to make payment to a customer, put a block here.
Dunning Procedure:
DP is used for sending of remainders to customers for overdue invoices.
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