Dimension accounting
Managers need to have specific information from the general ledger about where, when, and by whom costs and revenues were generated. To provide this information, you can use dimensions to split the general ledger information by departments, persons responsible for the revenues, costs, properties, debts, and so on.
You can specify dimensions for control accounts for these types of transactions:
- Sales invoices open entries
- Purchase invoices open entries
- Advance and unallocated receipts
- Advance and unallocated payments
- Retained earnings
Accounts Receivable
Sales invoices result in open entries on the control accounts in Accounts Receivable. For the dimension types linked to the control accounts, LN posts the entries to the dimensions specified on the invoice header.
LN uses the dimensions of the invoice header for all subsequent invoice-related postings such as the actual receipt, and currency results.
In the Sales Invoices (tfacr1110s000) session, you can manually enter the dimensions on the invoice header or use the default dimensions.
To determine the default dimensions for the open entry, LN searches whether dimensions are specified at these levels, and in this order:
- Invoice-to business partner, in the Invoice-to Business Partner (tccom4112s000) session
- Financial business-partner group, in the Accounts by Financial BP Group (tfacr0110m100) session
In the integration mapping scheme, you can map the dimensions of the open entries posted to the Accounts Receivable control accounts for sales invoices. In the Dimension Accounting field of the Invoicing Parameters (cisli0100m000) session, select the integration document type to map the dimensions.
In Invoicing, for manual sales invoices and for fixed asset disposal, you can enter the default dimensions on the invoice header, or you can enter the dimensions separately for each invoice line.
For asset disposal transactions, you can enter the default dimensions in the Invoicing Parameters (cisli0100m000) session.
Accounts Payable
Purchase invoices result in open entries on the control accounts in Accounts Payable. Purchase invoices include automatically generated invoices such as self-billed invoices, debit notes, and rebates. For the dimension types linked to the control accounts, LN posts the entries to the dimensions specified on the invoice header.
LN uses the dimensions of the invoice header for all subsequent invoice-related postings such as the actual payment, and currency results.
For advance payments and unallocated payments, LN uses the dimensions specified for the invoice-from business partenr or from the control account.
In the Purchase Invoice Entry (tfacp2600m000) session, you can manually enter the dimensions on the invoice header or use the default dimensions.
To determine the default dimensions for the open entry, LN searches whether dimensions are specified at these levels, and in this order:
-
For orders that consist of a single order line, the Document Type for Dimension Accounting selected for self-billing invoices in the ACP Parameters (tfacp0100m000) session.
For orders that consist of multiple lines, the dimensions of the self-billing integration document type cannot be used and LN searches for the dimensions specified for the invoice-from business partner.
- Invoice-from business partner, in the Invoice-from Business Partner (tccom4122s000) session
- Financial business-partner group, in the Accounts by Financial BP Group (tfacp0110m100) session.
Cash Management
For order-related bank transactions, LN retrieves the dimensions from the invoice header. You cannot change these dimensions.
For non-order related bank transactions such as unallocated payments and receipts, you can enter the dimensions or use the default dimensions in these sessions:
- Bank Transactions (tfcmg2500m000)
- Payment Advice Lines (tfcmg1101m000)
- Anticipated Payments (Details) (tfcmg2116s000)
- Anticipated Receipts (Details) (tfcmg2117s000)
- Standing Orders (tfcmg1510m000)
Retained earnings
In the Finance Company Parameters (tfgld0503m000) session, you can use the Dimension Accounting on Retained Earnings check box and specify the dimensions for the Retained Earnings account on company level. If you clear the check box, LN derives the dimensions for retained earnings from the dimension history. The dimensions of the Retained Earnings account must be Optional.