SAP Standard Provision for bad debts and bad debts written off
I have presented the SAP standard solution for the provisioning of bad debts and bad debts written off to my client. However they are not happy with the solution and require it to run as per below scenario.
The current SAP solution we run transaction F103 which posts
CR Customer Recon Account
DR Special GL account
The run FAGL_104 which posts
Dr Bad Debts (Expense Account)
CR Bad Debts Written Off (Balance Sheet Account)
What the customer wants is not to move the balance in the customer account out to the special GL account. It should remain in the customer account and a provision should be made. only once the doubtful receivable is confirmed and required to be written off then it need to be posted out of the customer account to a Bad Debt account.
Step 1 - Make Provision for the Bad Debt
Dr Bad Debts (Expense account)
Cr Bad Debt provision (Balance Sheet account)
Step 2 - Write the bad debt off
Dr Bad Debt provision (Balance Sheet account)
Is this possible with the SAP standard solution or do we have to create a custom program or post manual journals?