AFI (Accounting for Financial Instruments) postings derivation overview

[Former Member]

The following document provides an overview of AFI postings derivation logic for PEBT (Post External Business Transactions) and USBT (Update Secondary Business Transactions).

In a nutshell, PEBT posts on the suspense account key figure while the following step USBT picks up the amount and posts to the correct Balance Sheet or Income Statement Key Figure.  PEBT does a GAAP neutral processing while the application of additional calculations and/or GAAP dependent procedures happens in the following step, USBT.

Below, I will list separately, the AFI postings derivation logic for PEBT and USBT.

AFI postings derivation logic – PEBT

1. From the Business Transaction (BT) primary object, for each item of the BT; the Item Type is read.
2. Next, Derivation of Posting Key Figures from Item Type happens thru a derivation rule.
3. Next, Derivation of GL Accounts from Posting Key Figures happens thru a derivation rule. Thus, following the above logic, AFI derives the GL postings.

AFI postings derivation logic – USBT

1. From the Business Transaction (BT) primary object, BT Type is read.
2. Next, the Calculation Procedure for that BT Type is determined thru a derivation rule which is defined in IMG. 
3. Next, the Calculation Procedure settings are read to determine what Calculation Steps need to be executed.
4. Next, the Calculation Procedure Steps are executed in sequence and for each step, Item Type is derived. Assignment of Item Type to Calculation Step is done in IMG.

After execution of each step,

• If the result is >0; then the credit Item type is derived.
• If the result is <0; then the debit Item type is derived.

1. Next, Derivation of Posting Key Figures from Item Type happens thru a derivation rule.
2. Next, Derivation of GL Accounts from Posting Key Figures happens thru a derivation rule. Thus, following the above logic, AFI derives the GL postings.

Links below lead to documents that provide step by step details with screenshots and IMG paths. You may have to copy the link in your browser.

https://docs.google.com/file/d/0B6cfdyS-QQM_Z2pNRzRUcHdmYm8/edit

https://docs.google.com/file/d/0B6cfdyS-QQM_UDgxUW1JeWt2MmM/edit

Comments are welcome.

--

Manish