The Procedure For FI Bad Debt Configuration
The Procedure For FI Bad Debt Configuration
How do you configure bad debts in FI module?
By: Prakash Sharma
The procedure for Bad debt configuration:-
Define Methods: SPRO / Financial Accounting / Accounts
Receivables & Payables / Business transactions / Closing /
Valuate / Reserve for bad debts - OB04 - Double click define
methods - Select New entries button
Prov Period Months Percent1 M Percent2 M Percent3 M Percent4 SAI
1 10 2 20 3 30 4 100 Save Creation of Bad Debts Account: FS00
Co.code: XXXX - Select with template button G/L A/c:XXXXXX
Co.Code : XXXX Account group: Administration - Select P & L
Radio button Short text: Bad debts Long text: Bad debts - Select
control tab button Current currency: INR - Select only local
currency check box - Select line item check box, Sort key:001 Field
status variant: G001 - Save
Define Accounts for Reserve & Bad Debts: - OBXD
SPRO / Financial Accounting / Accounts Receivables &
Payables / Business transactions / Closing / Valuate / Define
Accounts for Reserve & Bad debts Chart of Accounts: XXXX
PROVISION METHOD DEBIT CREDIT XXX XXXXXX XXX XXX
Select rules tab button Accounts are determined based on -
Select Debit/Credit check box 40/50 - Select provision method check
box - Save
Special G/L Account: - FBKP
Double click Special G/L Account Type Special G/L Special G/L
Indicator Description D E Reserve Reserve for Bad debts
Double click Reserve - Chart of Accounts: SAI (Enter) Account
Assignment Reconciliation A/c:XXXXXX (SD) Spl.G/L-XXXXXX Save
Receivable Transfer posting (Gross): - F103
Accounting / Financial Accounting / Accounts Receivable /
Periodic processing / Closing / Value / Receivable transfer posting
(Gross) Customer A/c:XXXXXX Provision method: XXXX Special G/L
Indicator for Debit Rec: E (Reserve for bad debts) - Select create
batch input session check box - Batch input session name: SAPF103 -
Posting Key:09 Posting document: DA - F8 From the menu Select ->
System -> Batch Input -> Session - Select batch input
session: SAPF103 Select process - Select display errors only V -
Select process button - Exit Batch input
Reserve for bad debts (Gross): Customer A/c:XXXXXX Co.Code: XXXX
G/L Account: XXXXXX Co.code: XXXX Accounts group: reserves and
surplus - Select balance sheet option button Short text: Provision
for Bad Debts Long text: Provision for bad debts A/c Currency: INR
Rec.Accounts for account type: Customer - Select line item display
check box Sort key: 031 Field status group: G067 - Save
