SAP SD Important Statements

SAP Important Statements • • • • • • • • • • • • • • • • •

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The highest-level organizational unit in SD module is Sales Organization. A sales area is a combination of a sales organization, DC and division. A sales organization is uniquely assigned to a company code. DC is assigned to a sales organization. The assignment is not unique. A division is assigned to a sales organization. The assignment is not unique. A plant is assigned to a combination of sales organization and distribution channel. A plant is assigned to a company code. A material can have only one division. By defining and assigning Sales Org, DC and Div a sales area is not automatically formed. You have to set up a sales area. A sales office is assigned to a sales area. A sales group is assigned to a sales office. Inventory valuation is done either at company code level or plant level. However the stock is managed at storage location level. The highest org unit in shipping is shipping point. A shipping point is under client level. A shipping point is assigned to a plant. A shipping point can be assigned to multiple plants. Various shipping points can be assigned to same plant. Warehouse number is assigned to a combination of plant and storage location. A client is a self-contained technical unit. A client can be considered to be a synonym for the group. Each company code represents an independent accounting unit. Several company codes can use the same chart of accounts. A business area is a separate business unit for which cross-company code internal reporting can be carried out. Business areas are not limited by company codes. For this reason, the business areas in all company codes must have the same description. Using this organizational unit is optional. You can group transfer orders based on the warehouse number. A sales document has three levels- header, item and schedule line. A delivery document has two levels-header and item level. There is no schedule line. The reason is each schedule line in the sales document can become an item in the delivery document. Posting Goods Issue involves an interface with FI as stock valuation changes. A billing document has two levels-header and item level. When you create a billing document, in accounting, the R/3 system carries out a debit posting on the customer receivables account and a credit posting on the revenue account. You can branch to individual documents from the document flow by double clicking.

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The sources of data in a SD document are-(a)Master Data[Customer, Material, Output, Condition, CMIR] (b)Customizing (c)Other SD documents/existing document data(d)hard coded controls • Any changes in the customer master do not get reflected in documents created prior to the change except for ADDRESS. • You can use cross division sales to enter multiple materials with various divisions in a sales order. You can also choose division specific sales. It is controlled by customizing for sales document type. • CMIR has precedence over customer and material master. • Incompletion log functions are available in sales order [header, item, schedule line], delivery [header, item] but NOT in billing. • Condition technique is used for pricing, account determination, material determination, and free goods determination. Partner determination is not done by condition technique. • You can share customer, material and condition master data by maintaining a reference/common DC. • You can share customer and condition master data by maintaining a reference/common division • Delivering plant determination-a) CMIR (b) Customer master-ship to party-sales area –shipping tab page (c) Material Master-Sales Org1 view. • In the absence of a delivering plant determination there can be no automatic determining of the shipping point or automatic tax determination, no availability check can be carried out and no outbound delivery can be set up. • Shipping point determination-(a) Shipping conditions –customer master -sold to party-sales area-shipping tab page OR from sales document type (b) Loading group-material master-sales: gen/plant (c) Delivering plant. Shipping conditions from sales doc type has precedence over that from customer master. • Route determination-(1) the departure zone in Customizing for the shipping point (2) The shipping conditions as above. (3) The transportation - material master (View: SD: General/Plant) (4) The transportation zone –customer master-ship-to party- general data • Availability checking is carried on Material Availability date. • Different times involved in delivery scheduling-(a)Pick/Pack time (b)Loading time (c) Transportation lead time (d)transit time • For backwards scheduling, the customer's requested delivery date is used to calculate the material availability date and the transportation lead time. The delivery must be created on the earliest of the two dates (selection date for outbound delivery). If both dates are after the order date and the material is available on the material availability date, the customer's requested delivery date can be confirmed. • If both dates are after the order date and the material is available on the material availability date, the customer's requested delivery date can be confirmed. The earliest date at which the material is available in the warehouse is the new material availability date. This is the outgoing point for new delivery scheduling.

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Two schedule lines are generated for the sales line item: The date of the first schedule line corresponds to the customer's required delivery date and has no confirmed quantity. The date of the second schedule line shows the confirmed delivery date and the confirmed amount. If the customer allows orders to be combined, the R/3 System combines orders when creating the Delivery Due List. For this the following characteristics should be same: Shipping point delivery due date ship to party Inco terms

Route • If the whole quantity of a delivery cannot be picked, you can pick the open quantities using another transfer request or reduce the delivery quantities in the outbound delivery by copying the picked quantities. • An availability check occurs if material requires av check ie it is maintained in material master-Sales: Gen/plant or MRP3 views and in customizing it is maintained at schedule line level or delivery item category level. • In Customizing, you can configure which inward and outward movements are to be considered in the availability check. • Complete/partial delivering agreements are maintained in CMIR and/or Customer master-shipping tab page. The data from CMIR has precedence. • An order item is backdated if (a) the quantity of an order item is not totally confirmed and (b) The required delivery date for an order item can’t be kept. • Two types of back order processing are-manually and via rescheduling. • Shipment function is optional. You can create a shipment after delivery creation or after PGI. You can invoice the customer for shipment costs • Account determination is done based on the following criteria- VKOA Chart of Accounts Sales organization Payer’s Account Assignment group-sales area –billing tab page Material Account assignment group-material master - sales Org2 Account Key-Pricing Procedure • Account determination procedure in standard system is KOFI00. • In Make to Order production without Assembly processing production order is generated from the planned order. • In Make to Order production with Assembly processing production order is generated from the sales order. • In make to order production after Production has finished making the material, goods receipt is posted in the sales order stock which is a special stock, and which can only be used for a specific sales order.

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You can create the returns or a credit or debit memo request with reference to a sales order or a billing document. You create the invoice correction request or credit/debit memo (without credit/memo request) with reference to the billing document. A billing block is automatically assigned to the credit memo request or debit memo request. This prevents immediate billing. The Standard returns process in SAP has an order related Billing-Credit memo. Hence, credit memo generation can be carried out independently of the inbound delivery of returned goods. An invoice correction request is always created with reference to the incorrect billing document. A credit memo item and a debit memo item are created in the invoice correction request for every item in the incorrect billing document. Changes can only be carried out on the debit memo items. With Sales Information System (SIS), you can compress data from sales documents to obtain information. SIS is a part of LIS[Logistics information Systems] Lists fall in two categories-Online lists and Worklists. The Sales Information System is based on information structures. These are special statistic tables, which contain transactional data from the different applications. This data is constantly collected and updated by the system. Information structures contain three basic types of information: - Characteristics, Period unit and Key figures. Standard information structures for SD available in the R/3 System are from S001 to S006). You can create your own information structures in Customizing using the name range S501 to S999. With Flexible analysis you can combine characteristics and key figures from different information structures in one list. When you enter a sales document, you can also enter the ship-to party instead of the sold-to party. The system then determines the sold-to party from the ship-to party. If there are several possible sold-to parties for the ship-to party, the system displays a selection screen with the possible alternatives. Master data Proposal in sales documentDelivery address and Tax information from Ship to party master Payment terms, Credit limit check -from Payer master Address to which invoice is to be sent-Bill to party master Shipping conditions, Pricing, Incoterms- from Sold to party master The business item switch in item category customization controls if Business data[like payment terms, Inco terms,etc] at item level can be different from that of header level. In sales order with fast change option you can change Reason for rejection, delivery block, billing block, delivery date, delivery priority and plant. With mass change option in a sales document list you can change plant, material, pricing and currency.

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A billing block can assigned at the header and item level. A delivery block can be assigned at header and schedule line level. An items status is deemed completed if it has been rejected by giving a reason of rejection. • Important controls in sales document typeReference mandatory from any other document. System reaction if division at item level is different from header level. Item division-If you mark this field, the system proposes the division from the material master record of the item else the division in the document header also counts for all items. If the system reads any CMIR or not.. Incompletion procedure assignment. Document pricing procedure Messages about open quotations, open outline agreements, etc. Incomplete messages switch - when ticked doesn’t allow you to save an incomplete document. When un-ticked the incompleteness is controlled by status groups of incompletion log. Delivery type Delivery block Shipping conditions Immediate delivery switch Billing type Billing Block • You can limit the validity of your sales document types at the level of sales organization, distribution channel and division[ie for sales area] • Important controls at sales item category levelBusiness item-If the business data at item level can be different from that at header level. Completion rule-The rule for establishing when a quotation or contract is complete. Special stock indicator-for e.g. consignment stock Billing relevance-Order related, delivery related, etc. Billing Block Schedule lines allowed-Indicates whether you can create schedule lines for the item Different procedures-Incompletion, Partner determination and text determination . Structure Scope for BOM Pricing-Indicates whether the system automatically carries out pricing at the item level • A sub item is an item assigned to a higher-level item • Item category Determination-Sales document type from sales document header+item category group-material master-sales org2+Item usage[program]+item category of upper level item • All the items in the bill of material (BOM) that you want to control in the sales document must be flagged as relevant for sales. Hence you should create a BOM material with BOM usage 5 (SD).

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The BOM appears in the sales document as a structure with main and sub-items. The system explodes the BOMs in the sales order by automatically generating sub-items for the components. • Item category group in MM—ERLA, main item is priced and sub item is not priced. Item category of main item-TAQ and sub item-TAE • Item category group in MM—LUMF, main item is not priced and sub item is priced. Item category of main item-TAP and sub item-TAN • SCHEDULE LINE CATEGORYDelivery Block Movement type If the item relevant for delivery. Incompletion procedure Transfer of requirements Availability check Movement type in normal PGI-601 Movement type in returns-651[places the material in returns] Schedule line category is determined from item category of sales document and MRP type from MRP1 view of material master. • RUSH ORDER -Sales from plant scenario. -Sales doc type-RO-Delivery type-LF -Std item category-TAN[with RO+NORM] -Billing type-F2[Delivery related] -Immediate delivery switch checked -Once the goods have been withdrawn from the warehouse, picking and posting goods issue can begin. • CASH SALES -Sales from plant scenario -Sales doc type-CS -Std item category-BVN[with CS+NORM] -Delivery type-BV -Billing type-BV[Order related billing] -Immediate delivery switch checked - Once the goods have been withdrawn from the warehouse, picking and posting goods issue can begin. CONSIGNMENT SCENARIO order Y Y Y

Fill up[CF] Issue[CI] Pickup[CP] Returns[CONR ] Y

delivery Y Y Y

picking Y N N

goods issue billing Y N Y Y Y N

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Delivery free of charge[FD].Item category is KLN with FD+NORM. KLN is not relevant for pricing. Subsequent delivery free of charge SDF has reference mandatory to a preceding sales document. Item category is KLN with SDF+NORM. KLN is not relevant for pricing. Incompletion log functions are available forSales - Header Sales - Item Sales - Sched. Line Partner Sales Activity Delivery header Delivery item Partner determination is carried out forCustomer Master Sales Document header Sales Document item Delivery type Shipment type Billing Header Billing Item Sales Activity Outline agreements-Contracts & scheduling agreements. Contracts are of two types-Quantity and value[General value & Material Related Value] The scheduling agreement contains fixed delivery dates and quantities and is valid for a certain period of time. The contract does not contain any schedule lines, delivery quantities, or delivery dates. It is valid for a certain period of time. Release orders are created with reference to a contract. Schedule lines are created in the release order when it is placed. You can choose materials directly or by exploding an assortment module. You can create release orders in any currency and the total value is updated in the currency of the contract. The value of the release order is compared with the value still open in the contract. You can define how the system responds when this value is exceeded. A value contract defines that your customer agrees to purchase a fixed total value (target amount) of goods and services during the defined period. You can have partner function AA as optional sold to party and AW as optional ship to party in the standard system. You can maintain contract data at both the header and the item level in the sales document. If you assign a contract profile to the sales document type, the system automatically determines default values specific to the contract. These could be:  Rules for determining start and end of the contract Duration category -7-

Subsequent activities Cancellation procedure • Material determination is carried out by condition technique. You do not need a material master record for the material number that you are replacing. • In standard system reason for substitution 0005 is for manual product selection and 0004/0006 is for automatic product selection. If automatic product selection is being used, the system may display (based on customizing) the entered and substituted material as main and sub-items in the sales order. • You can re-run material determination when the delivery is created. If material determination is re-run, the result of the substitution may change due to the new availability situation. • Free goods can be part of the order quantity not included in the invoice. This is called an inclusive bonus quantity. The ordered goods and the free goods both involve the same material. The quantity units of the free goods and ordered goods must be the same. • In exclusive bonus quantities, the extra goods are delivered free of charge and are not typically included in the invoice. This can either be an additional quantity of the goods ordered or it can be another article. The exclusive free goods appear in the SD document as an individual, free-of-charge item. • The system re-reads the free goods master record in the sales order if the quantities in the main item change or if the pricing date changes. The system then deletes the sub-items and re-creates them. Any manual changes to the free goods quantity are lost. If pricing is re-run in the sales order, it does not affect the free goods determination. • Condition technique is used for free goods determination. • Sales to employees-automatic delivery creation, order related billing, no picking, customer master account group-one time customer. In the financial accounting document, the billed amount is posted to a special cash sales account. • Logistics execution = goods receipt process + goods issue process + Internal warehouse processes + transportation process • You can store delivery agreements using the indicators in the customer master record of the sold-to party or in the customer material information record. • Each outbound delivery starts at a shipping point, continues along a route, and has the ship-to party as the destination. These elements are header fields in the outbound delivery. • If you use transportation functions, outbound deliveries are grouped together on the basis of user-definable criteria in a document called the shipment document. • Organizational units of WM-Warehouse number, Storage type, Picking area, Staging area, Door. • The connection of the organizational units in the warehouse to MM Inventory Management results from the assignment of the warehouse number to a combination of plant and storage location. • DELIVERY TYPE CONTROLSRule for determining storage location

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Text, partner, output determination procedure Route re-determination Delivery split by warehouse number Delivery split by partner Automatic packing Order reference • DELIVERY ITEM CATEGORY CONTROLSCheck zero qty Check minimum qty Check over delivery Availability check control Picking relevance Determine storage location Automatic batch determination Packing control Text determination procedure • When you copy an order item to a delivery, the system copies the item category of the order item to the delivery item. • An item category is not specified for order-independent items in the delivery (for example, packing material), for deliveries without reference to an order (delivery type LO). In such cases the item category determination takes place on the basis of customization settings which is the same as that of sales document item category. • In precise scheduling, the system calculates and displays the results of scheduling down to the minute. In daily scheduling, the system uses days, hours, and minutes for calculation, but only displays the resulting date. • If you have maintained the working times of the shipping point, the system performs precise scheduling. • The route is used to determine the transportation lead-time and transit time. For Transportation lead-time Precise scheduling uses the working times of the shipping point; daily scheduling uses the factory calendar of the shipping point. For transit time both types of scheduling use the factory calendar of the route to determine when the route is used. • You can use a route schedule to organize outbound deliveries from a particular shipping point to different ship-to parties. • The route schedule generally contains: Route, departure date and time, list of ship to parties and itinerary (optional). • You can use route schedules in sales orders, stock transfer orders, and outbound deliveries. • In Customizing, you define whether a route schedule should be assigned for each shipping point, order type, purchasing document type (and delivering plant), and delivery type. • Picking location determination rules-MALA, RETA and MARE.

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MALA: The picking location is determined based on the shipping point, the delivering plant, and the storage condition for the material as defined in the material master[general plant data/storage 1]. Door determination takes place at the delivery header level. Staging area determination can take place at the delivery header level and item level. Different staging areas at the delivery item level lead to a transfer order split because the staging area is a header field in the transfer order. The outbound delivery monitor displays all deliveries that are still to be processed or that have just been processed. With WM, in the standard configuration of the system, the prerequisite for posting goods issue is that picking-relevant items are completely picked. This means that the delivery quantity and the pick quantity in the outbound delivery must be the same. A transfer order is an instruction to move materials from a source storage bin to a destination storage bin within a warehouse complex. With WM precise inventory management at the level of the storage bin is possible and is used for warehouse with random storage.this is not possible with lean WM and hence suitable for fixed bin warehouses. You can activate Lean WM in Customizing at the warehouse number level. Automatic or direct creation of transfer orders if system determine output type WMTA at the header level of the outbound delivery when the delivery is being created. Batch management settingsMaterial master-Plant/data storage 1 view and Purchasing view-activate batch management When delivering a sales order, this batch is copied to the outbound delivery. You cannot change it there. If a batch has not been specified in the sales order, you can enter one in the picking overview screen of the outbound delivery. You must specify a batch before goods are issued. Batch split function is used if the delivery quantities of an item are to be taken from different batches. It can be done manually in batch split screen of delivery item or automatically using automatic batch determination [for this customization is done in delivery item category] You can assign a unique serial number to each material. This allows you to monitor goods movement for individual materials. To use serial numbers, enter serial number profiles in the material master record (view sales gen/plant). Serial numbers are specified in the delivery item or the order. The outbound delivery can contain shipping-related conditions at header level. You can use the SD pricing condition technique. Assign the pricing procedure to the delivery type. When you split a delivery, you create one or more new deliveries, called results, and the remainder. When you call the delivery split, specify a split profile to determine the type of split. Split profiles are defined in Customizing, and assigned to delivery types. - 10 -

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The packing function is available in- In orders (as packing proposals), In the inbound delivery, In the outbound delivery, In the shipment document. Packing controls-You define packaging material type, packaging material group and assign packaging material type to pkg material group.Choose material type VERP for the material master and maintain the pkg material group in basic dat1 and sales: gen/plant views. However, if this field has not been maintained in the material master, this material can be packed in any packaging material depending on the weight and volume check. The system can generate a separate item in the outbound delivery for each packaging material. For this You must set item category determination in Customizing. In this context, table entries with PACK usage are relevant.  The delivering plant must be determined using the plant determination rule in the packaging material type or must be entered manually. If you want to bill the customers for pkhg material item category should be detrmined as DLN. If you use returnable packaging materials, you must create them in the material master record with item category group LEIH (item category TAL is determined). When goods issue is posted, the materials are transferred to special stock for the customer After the goods issue has been posted, there is limited scope for changing the outbound delivery. Goods Issue –  Reduces warehouse stock, Posts the value change to the stock accounts in inventory accounting, Enters status information in the outbound delivery. If goods issue for an outbound delivery is canceled, the goods issue posting is reset. The system copies the quantities and values from the original goods issue document and carries out an inventory posting based on these quantities and values with a reversed +/- sign. If the outbound delivery has been fully or partially billed you must first cancel the billing document. Then you can cancel goods issue. For each movement type in MM Inventory Management, you must define a reversal movement type in Customizing. You specify in the Quality Management view of the material master if a quality inspection is to be carried out for the material. When the outbound delivery is created in SD, QM automatically creates an inspection lot for the delivery items that are relevant for inspection. The usage decision represents the completion of a QM inspection. Depending on the customer, or on the customer and the material together, you can specify if the inspection log must be accepted before goods issue can be posted. You initiate printing of a certificate of quality from output control of the outbound delivery at item level. POD settings- you need to define which delivery item categories are relevant for the POD process, You also need to define reasons for deviation, and in the customer master (sales area-shipping tab page) specify POD relevance.

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The system creates the billing document based on the correct (verified) quantity. The creation of a billing document using the billing due list is blocked until proof of delivery has been confirmed. In pricing condition records you can have a validity period, maintain a scale and specify upper and lower limit for manual changes. Each condition type can be set as an automatic surcharge, discount or either. You can do mass maintenance of conditions which means that condition records can now be maintained across all condition types and condition tables. Pricing procedure determination-Sales Org,DC,Division + Document pricing procedure + Customer[Sold to party] pricing procedure. An access sequence (search strategy) is defined for each condition type (with the exception of header and manual only condition types) in the pricing procedure. Each access performed during the access sequence is made using a condition table. A condition table is a combination of fields, which form the key for a condition record. You can make an access dependent on certain requirements. The condition exclusion indicator can be set in either the condition type or the condition record. As well as being determined automatically, conditions can also be entered manually in the sales document. You can prevent one condition type from being changed manually by making settings in customizing. Header conditions are valid for all items. These are automatically distributed among the items based on net value. The basis for distributing the header conditions can be changed in the pricing procedure by selecting the appropriate routine (e.g. weight, volumes) in the AltCBV (alternative formula for condition base value) field. Update prices on the condition screens is available at header and item level: You can choose the pricing time in a dialog box All fields which are to be used for creating a condition table must be contained in the field catalogue. It is possible to add additional fields to this catalogue. When creating a new program for pricing reports, you first decide in which views you want to analyze the condition records. You do this by selecting specific fields from the existing condition tables. Depending on which fields are selected, the system will generate a list of tables, which contain at least one of the selected fields. From this list of tables, select which specific tables will appear in the report. New condition records can be created with reference to existing condition records. The price change function allows you to maintain multiple condition records simultaneously. You can create and use condition indexes to search for condition records that were created for a variety of condition types and condition tables. Before you can use the indexes that are delivered in the standard version, you must first activate

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them in Customizing for sales. However, if you create your own indexes, the system automatically activates each new index when you generate it. You can allow a release procedure to be used when a condition table is created, by selecting the With release status checkbox. Different statuses arereleased, blocked, released for price simulation, released for planning and price simulation. The calculation type for a condition type is defined in Customizing. This calculation type determines how prices or discounts and surcharges are calculated for a condition. You can maintain long texts in the condition records for pricing and agreements (rebates, sales deals, and promotions). In Customizing you can set a condition type to be a group condition. The condition base value (e.g. weight) is then calculated as the sum of the individual items within one group. For group conditions with varying keys, item quantities are accumulated for scale point determination purposes but the rate for each item is taken from its individual condition record. Exclusion group- Condition types to be compared are first placed in an exclusion group. During pricing, the conditions which result in the best price (lowest charge or highest discount) are selected from this group. All others are deactivated. Values can be accumulated in condition records and tested against limits. In this way, you can set a maximum condition value, condition base value, or number of orders for a condition. For this you must activate condition update switch in customizing for condition type.[then only these fields become visible in condition record] Condition supplements are groups of conditions which are accessed together during pricing. The term price book refers to a price determination strategy. A customer hierarchy consists of nodes, which are only valid for a certain period of time. They may also be moved. If a node is moved, the system automatically reassigns all related nodes and customer master records. You can maintain a rounding unit in Table T001R for each company code and currency. Condition DIFF determines the difference amount. Condition type DIFF is a group condition and is distributed among the different items according to value Statistical condition VPRS used to retrieve the standard cost of the material has the condition category G. It accesses the material valuation segment of material master. Statistical condition condition type SKTO is used to retrieve the cash discount rate.it has condition category E. The following factors play a role in tax determination:  Business transaction - domestic or export/import Tax liability of the ship-to party Tax liability of the material

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You can define a promotion or general marketing plan for a product line for a certain period of time. You can then link this promotion with specific sales deals, which are themselves linked to special condition records. These condition records can be used for promotional pricing or discounts Rebates are different from other discounts in that they are based on the sales volume generated by the customer within a specified period and are paid retrospectively. A settlement run creates the required credit memo request automatically. A settlement run creates the required credit memo request automatically. In order for rebates to function, rebate processing must be activated for: The sales organization, payer, billing doc type. Condition records are linked to the rebate agreement specifying the rebate rate and the accrual rate. You may have a rebate that does not refer to a particular material, but rather to a group of materials or to a customer. In this case, you must refer to a settlement material in order to provide information at the material level. Billing type controls cancellation billing type, internal number assignment, account determination, invoice list type, posting block, rebates, basic functions(output, partner, texts). In Customizing for the item category, you can determine whether billing is to be carried out with reference to a delivery or an order. The system proposes a relevant billing type from the underlying sales document type. For example, in delivery-related billing, a standard order (order type OR) is invoiced using billing type F2. You do not need to make an entry in copying control for billing cancellations. when you select cancellation, you branch to an overview screen containing the original billing document as well as the cancellation. Before updating, you can compare both documents in order to avoid any discrepancies during cancellation. In the SAP R/3 System, it is possible to include both order-related and deliveryrelated items in the same billing document If the header partners or data in the header fields are not identical, the system will automatically perform an invoice split Each billing type to be included in an invoice list must be assigned an invoice list type. You also need to maintain the following master data: (a)Define a factory calendar, which specifies when invoice lists are to be created. Enter this factory calendar in the payer customer master record (Billing screen, Invoice list sched. field). (b) Maintain condition records for condition type RL00 for the payer.(c) Create output condition records for condition types LR00 and RD01. You can assign a billing plan at header level{sales doc type} or at item level{sales item category with billing relevance I}. Periodic billing is used to bill the full amount periodically at certain dates. Milestone billing is used to spread billing of the full amount over several dates within a billing plan.

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In the SAP R/3 System, milestones are stored in a network along with planned and actual project data. Milestones are assigned to the billing plan dates and blocked for billing until the milestone is confirmed as completed. • The date proposal is used exclusively for milestone billing. It determines a sequence of dates that are used as the reference for date determination during order processing. • The down payment request (SD) is automatically posted in Financial Accounting (FI) as a down payment request (posted as a noted item). The item has special General Legder (G/L) indicator F, which ensures that posting is statistical. Posting is made to a different reconciliation account, which allows you to differentiate down payment requests from other receivables. Billing type FAZ is used for creating the down payment request. • An installment plan allows the customer to pay in installments. Only one billing document is created for all of the installment payments. The printed invoice is created on the basis of this billing document and includes a list of individual payment dates and exact amounts. Each installment payment creates an accounts receivable line item posting in FI. • criteria for account determinationChart of accounts Sales organization Account assignment group for payer Account assignment group for materials Account key •

Account determination is carried out using the condition technique.The std account determination procedure is KOFI00 which has the std condition types as KOFI and KOFK. • Rules for business area determination Business area assignment by plant and item division Business area assignment by sales area Business area assignment by sales organization, distribution channel, and item division • This can lead to different business areas being determined for several items within the same order. • You can automatically fill the Reference number and Allocation number fields in the accounting document with numbers from SD documents. The reference number is in the header of the accounting document and is used for clearing. The allocation number is in the customer line item and is used for sorting line numbers. In Customizing for copying control in billing, you can define which numbers will be copied as reference or allocation numbers: A – Purchase order number B – Sales order number C – Delivery number D – External delivery number

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E – Billing document number F – External delivery number if available, otherwise delivery number • When the invoice list is created, the reference number from the invoice list overwrites the reference numbers from the individual billing documents. • Copying requirement are ABAP routines. Before data is copied from the source document to the target document, specific requirements must be satisfied at each level of the document. • Copying control-sales document to sales documentHeader level controls - copy item number, complete reference. Item level controls-copy qty,+/- qty, pricing type, update document flow. The update document flow indicator works in conjunction with completion rule settings in item category. • Copying texts requires more memory than referring texts from a source document • In billing type if "Text Delivery" is switched off, the corresponding SD header/item texts are taken from the order. If the switch is on then it is taken from outbound delivery. • You determine the transmission medium, the time and the partner function in the condition record for output type. • Material master is controlled by material type and customer master is controlled by account group.

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