A financial year is termed as a fiscal year. A fiscal year may or may not be the calendar year depending on the country. Fiscal year variants defined in SAP are:
Company code is the central organizational unit used for financial accounting purposes. This is the most important organizational unit in SAP (without which FI cannot be implemented). Every legal entity is created as a company code in SAP. This is the central organizational unit to which all other organizational units of other modules will be assigned.
Examples of dependency to other modules
Company: Smallest organizational unit for which individual financial statements can be drawn up according to the relevant commercial law. A company can consist of one or more company codes.
A company is generally used in the legal consolidation module to roll up financial statements of several Company-Codes. A company can consist of one or more Company-Codes. It is important to make the distinction that a Company is NOT the same as a Company-Code.
Company code links – What is a company code? Company code Configuration
Menu Path:
SAP Reference IMG -> Enterprise Structure -> Definition -> Financial Accounting -> Define Company
These are the steps in GL configuration.
1. Creating company code
2. Create chart of accounts
3. Assign company code to chart of accounts
4. Define Account group
5. Define retained earnings Account
6. Maintain Fiscal year variant
7. Assign company code to a Fiscal year variant
8. Define Posting Period variant
9. Define variants for open periods posting
10. Assign Posting period variant to company Code
11. Create document number ranges for company code
12. Define document type and assign document number range
13. Enable Fiscal year default
14. Enable default value date
15. Maintain field status variants
16. Assign company code to field status variants
17. Screen variants for document entry
The Steps for Internal Order configuration are:
Let’s say in an organization there are various events such as trade fairs, training seminars, which occur during the year. Now let’s assume for a second that these Trade fairs are organized by the Marketing cost center of the organization. Therefore in this case marketing cost center is responsible for all the trade fairs costs. All these trade fairs costs are posted to the marketing cost centers.
Now if the management wants an analysis of the cost incurred for each of the trade fair organized by the marketing cost center how would the marketing manager get this piece of information across to them?
Now this is where Internal Order steps in .If you go through all cost center reports this information is not readily available since all the costs are posted to the cost center.
SAP, therefore provides the facility of using internal orders which comes in real handy in such situations. In the above scenario the controlling department would then need to create an internal order for each of the trade fair organized. The cost incurred for each of the trade fair will be posted to the internal orders during the month. At the month end, these costs which are collected in the internal order will be settled from these orders to the marketing cost center. Thus the controlling person is now in a position to analyze the cost for each of the trade fair separately.
Thus internal order is used to monitor costs for short term events, activities. It helps in providing more information than that is provided on the cost centers. It can be widely used for various purposes . If used intelligently it is a real handy tool. Thus Internal order is basically a cost object which is used to monitor cost of a time restricted job. There are various types of internal order the common ones being a Real order where you collect costs and settle it at the month end. Ther others are statistical orders and we also have capital orders for capital projects