Contract Category not fulfilling business requirement

[Former Member]

Hi

I am processing contract in RE-FX system whose contract category in configuration is: External. Now when i perform the periodic posting(RERAPP), it updates customer Recon acc as well as Revenue G/L account but no updates appears in cost center. And when i am processing with Contract Category: Internal, it is updating cost center and G/L only which i have maintained in configuration, But not updates are appearing in customer recon account. Now business requirement is, they want to debit customer recon and want the values to be updated in cost center also. Please let me know what can be done for mapping it with SAP RE-FX.

Thanks

Deepak Mehmi

[Former Member · Accepted solution]

Hello,

External Contracts in REFX can be lease In with Vendors or Lease Outs with Customers. In REFX the CO objects are Rental Units/Buildings/PR and Contract itself. So you will not see the Cost center populated on the documents in any postings. The follow up process which is transfer posting and settlement process will eventually distribute the cost and rev to respective co objects and Profit segments defined in the CO settlement rules of the contract and respective RE Objects.

In Internal Contracts, the Contract is with an internal entity which can be represented by Cost center, Order etc. hence when you execute the posting you will see Cost Center is debited.

You can show your business the settlement posting which is nothing but debit/Credit to CO objects and should help them for internal reporting. If they are crediting and exp account in case of customer contracts the settlement can credit the cost center if settlement rules are maintained on the contract or Rental object or on whatever is the distribution object is.

Careful:- force population of Cost Center using BADI's on the FI document posted by REFX may cause you more work and reports may become complicated.

Thanks,

Jag

[Former Member · Accepted solution]

Hi Jag,

I got one question to you.

Am still new in SAP RE-FX. I have one requirement to create one contract for my partner,

The requirement is : No payment done and no customer will be created as it will do the cost transfer  from Shopping Center to specific Partner Cost Center.

I created Internal Contract Lease out for this but am stuck with condition- I used Flow type: Own use but when simulating the contract,system pop-up message: Reference flow type 30 does not exist' even though this flow type created already.I did create 40 and 30 already ..

My concern: Do you think am using the right contract type and how to create the flow type?

Appreciate your help

Sue

[former_member326603 · Accepted solution]

I have assigned cost centre in contract and when I run periodic posting then following entry is passed in my system:-

1.    Rent Expenses – Dr ------- Contract

       To Provision Account ---------- Cost Centre

2.    Provision Account – Dr ------- Contract

       To Vendor Account

Right entry for REFX is as follows :-

1.    Rent Expenses – Dr ------- Cost Centre

       To Provision Account ---------- Contract

2.    Provision Account – Dr ------- Contract

       To Vendor Account

I don’t know why cost centre is not assigned to rent expense account. Cost centre should be assigned to rent expense account and not to provision account.

Please help me.

Regards,

Mahendra Gupta

[former_member515641 · Accepted solution]

Dear Mahendra,

Did u find any solution for assignment of cost center to expense accounts? I got errors in periodic postings of leas-in contract. Kindly help.