Create /Maintain /Adjust Customer Invoices

CREATE / MAINTAIN / ADJUST CUSTOMER INVOICES

Create customer invoices

Invoices from MIT "dunning area" departments are entered into SAP manually or via automated feed.

ZAR3 - Feed departmental invoices into SAP
Client (or "dunning area") departments with their own data processing systems (Medical, Libraries and Benefits Accounting) forward new invoices to A/R via electronic feeds.
Notes: The program that reads invoices into SAP uses a series of translation tables. The first maps division and group to a sales organization which, in turn, assigns the document type.
An additional table (see Appendix A) determines general ledger account and cost/profit center for the revenue side of the A/R receivable (by mapping the current transaction code of the receivable line item to a general ledger account and cost/profit center).
F-22 - Enter customer invoice
Other client departments (CAES, Housing & Dining and Journal Vouchers) enter invoices manually via SAP data entry screens. Because SAP is a real-time system, invoices, when posted, will be immediately reflected in the A/R subledger and also in the General Ledger.
When entering invoices manually,
1. First, total the activity to be posted to customers accounts and enter this amount into the system as a control total for the batch of invoices to be entered (see FB07 - Maintain invoice control totals, step 1).
2. As you enter invoices into the system, be sure to note the first and last document numbers created in the batch. These document numbers are necessary to SA38 - Run line item journal on a batch of invoices. Note: Although we refer to a "batch" here, no batch number is created and/or attached to transactions.
3. While entering the invoices into A/R, use the overview button to review the entries prior to posting them.
4. Once the batch has been completed,
  - review the totals to verify that the data was entered correctly (see FB07 - Maintain invoice control totals, step 2).
    To assist in identifying any variances that may exist, use SA38 - Run line item journal. Compare the items on the report to the source documents.
  - reset the control total to zero (see FB07 - Maintain invoice control totals, step 3).

The fields Document type, Dunning area and Allocation are utilized for invoice control and department reporting in on-line sessions and report generation. The name of the department entering the invoice is automatically entered into the allocation field based upon the dunning area used (see Appendix A).

Unique document types have been developed for invoices created by each department. Authorization to view specific documents types will also be granted based on these document types. As an example, for reasons of confidentiality, only Medical and Central A/R will have access to view document type "MD" (Medical).

Change line items

Subsequent to the entry of an invoice, A/R personnel may, on occasion, need to change line item information (see ZFBL5N - Change Invoice Line Items). The only possible changes are to the dunning area and the services-provided Text fields.

Adjust customer invoices

More radical adjustments to customer invoices can be broken down into two major categories:

adjustments made by A/R personnel using FB08 - Reverse A/R Document (during the SAME accounting period as the invoice was entered)
adjustments made by means of F-27 - Enter credit memo (subsequent to the CLOSING of the accounting period in which the invoice was originally entered)

In each case a corresponding debit will be made to the revenue internal order of the client department. To ensure that the correct department gets the credit, the original dunning area of the document must be used on the credit memo (see Appendix A).

In addition, in order to preserve aging, the baseline date of partial payments must be adjusted to match the baseline date of the invoice against which it is cleared.

FB08 - Reverse A/R document

Occasionally, it may be necessary for A/R personnel to reverse an invoice posted either centrally or by client departments. Reversal will automatically generate offsetting entries for both sides of the original transaction. Reversal is only possible within the SAME accounting period as the original posting.

F-27 - Enter credit memo

The most common form of invoice adjustments are credit memos. Credit memos can be posted against customer accounts to reduce or write-off outstanding balances and must be subsequently cleared (see F-32 - Clear customer account (with or without residual items).

ZAR4 - Create telephone invoices from order number 1078200

As of March 1999, A/R personnel can run an SAP procedure to invoice and post telephone charges (document types 90 and ST) to order number 1078200. A pre-validation report lists errors found, invoices created, and invoice totals.

A/R personnel need to correct the errors found on the pre-validation report and enter invoices for these charges manually, using F-22 - Enter customer invoice.