SAP Business: Cash Position Report

January 2, 2010 by mySAP
Filed under: Treasury Process

This business process describes the process of generating cash position report.

Common Business Requirement

Cash position report shows the balance in bank GL accounts and the bank clearing accounts. Before generating the cash position report, the bank GL accounts should be checked to see if there is any overdraft. If there is overdraft, interest should be calculated and journal entries posted for the overdraft interest such that the cash position report will be reflective of actual cash position.

Detail and Design

SAP provide the standard SAP Cash Management and Forecast Report for cash position report. This SAP report can be used for both cash position and liquidity forecast.

On the selection screen, if only the Cash Position checkbox is checked, then only cash position is displayed. If the Liquidity Forecast checkbox is checked instead, then liquidity forecast is displayed.

Planning Levels

The balances in bank GL accounts and bank clearing accounts will form part of cash position if the planning levels set in the company code level of the GL account master are indicated as relevant for cash position. Planning level is either relevant to cash position or liquidity forecast. Planning level is classification of causes of bank transactions.

Since planning level is entered at the company code level in the GL account master, new countries will decide on mapping of planning level to bank and bank clearing GL accounts.

Grouping

Grouping is a 10 characters code which must be entered when generating the cash position report. Grouping determines what information is shown in the report. For example, if country often has to view only outgoing payment related cash information, then a grouping “OUT_PAYMNT” should be created such that balances of accounts belonging only to outgoing payment planning levels are displayed when this grouping is selected. Grouping is also applicable to liquidity forecast.

Summarization Term

Summarization term is assigned to grouping and group together individual accounts in the cash position report display.

For example, if the country only needs to see the balances (and not the details) in all outgoing clearing accounts and outgoing bank GL accounts, then summarization term “OUT_PAYMNT” should be created such that the first screen of the report will only display the sum of these accounts under summarization term “OUT_PAYMNT” instead of showing the balances of individual outgoing clearing accounts and outgoing bank GL accounts.

The length of summarization term is also 10 characters. Summarization term is also applicable to liquidity forecast.