FEBRABAN company number

In Brazil, the number assigned to a company by FEBRABAN, a Brazilian association of banks that use the same bank formats. FEBRABAN assigns a number to each company that establishes a payment agreement (in Portuguese, convênio ) with banks belonging to FEBRABAN; it is assigned uniquely to each company code, and a separate number may even be assigned to different divisions of a single company.

field movement

A definition that controls how data is to be transferred and summarized in a database.

Field movements contain:

• Sender fields (dimensions in the source database)
• Receiver fields (dimensions in the receiver database)

A field grouping code is assigned to each group of field movements.

Field grouping codes are used in ledger and rollup definitions.

FIFO

Abbreviation for "first in, first out".

An approach to inventory management (FIFO withdrawal method) or valuation (FIFO valuation procedure) in which materials and products are actually or supposedly withdrawn from stock for sale or use in the order of their acquisition (i.e. the first goods received are - or are deemed to be - the first to be issued).

FIFO price table

A database table in which you can save the results of FIFO valuation daily.

FIFO valuation procedure

Abbreviation for "first in, first out".

An approach that allows the realistic valuation of stocks (inventories) of materials or products. The FIFO valuation procedure is based on the assumption that the materials or products that are acquired first are also those that are used or consumed first. The calculation of the value of stocks is thus based on the most recent acquisitions.

FIFO withdrawal method

Abbreviation for "first in, first out".

A method of issuing or withdrawing goods from stock in which the goods acquired earliest are used or sold first (first in, first out). Closing stock in accordance with the physical inventory thus always comprises the most recent acquisitions and is thus also to be valuated at the prices thereof.

file description

A definition of the relationship between the cells in a Microsoft Excel file and R/3 objects, enabling Excel files to be imported into the SAP System correctly.

The file description indicates the contents of the individual cells of the Excel file and how these contents are related to the objects of the SAP System.

Example

Cell B:3 -> cost center

Column A, lines 6 to 20 -> cost elements

final cost center

A cost center that has no subordinate cost centers.

final costing

The cost estimate of an activity unit (the cost object) based on the actual costs incurred for the activity performed.

Final costing determines and monitors costs. It also compares target costs to actual costs.

final delivery

The last receipt of a material against a purchase order item.

No other deliveries are expected against this PO item.

The item is regarded as closed.

final issue

The last goods issue for a material against a reservation item.

No further goods issues are expected against this reservation item.

The item is regarded as closed.

final issue indicator

An indicator used by the system to denote that a reservation item is closed.

The final issue indicator is automatically set when a goods issue is posted if the total reserved quantity is withdrawn.

As a result, the reservation item is no longer included in the list of open reservations.

final results analysis

An indicator that determines how the remaining results analysis data should be dealt with when the object reaches a certain system status.

final settlement

The determination of the final balance due with respect to an end-of-period rebate arrangement at the end of the validity period of that arrangement as a basis for payment thereof.

Any partial or interim settlements that have been effected are taken into account in this process.

final withholding tax

A type of withholding tax in the Philippines for which taxes withheld on income payments are constituted as full and final payment.

An example of an income payment subject to final withholding tax is a cash dividend payment by a domestic corporation to a citizen or resident alien.

financial budgeting

The specifications for the medium-term and long-term application of available financial resources taking into consideration the results and requirements of:

• Sales planning
• Master production scheduling
• Procurement planning
• Investment planning
• Personnel planning

financial document

A document used in documentary payments for Foreign Trade.

financial document category

A category for a financial document, such as a letter of credit.

Examples include:

• Revocable
• Irrevocable unconfirmed
• Irrevocable confirmed

financial document type

A type of financial document, for example, a letter of credit.

financial reporting data

The data required for certain consolidation tasks.

It is entered into the Consolidation system in addition to the individual financial statement data, and is stored in specific financial reporting tables.

Financial reporting data is required for the following activities, for example:

• Changes in investments and investee equity of group-internal trading partners
• Equity holdings adjustments for the group's associated companies
• Hidden reserves (fair value adjustments) and goodwill
• Transfers of fixed assets within the group
• The exchange of goods and services in the inventory between internal trading partners

financial statement item

The financial statement item is the key account assignment, and forms the basis for data entry, posting and reporting in FI-LC.

The charts of accounts of the companies to be consolidated (which differ as a result of varying foreign requirements) are standardized in the FS chart of accounts.

Financial statement items are not only used for accounting purposes within the balance sheet and income statement. They can also be used for statistical purposes (number of employees) to produce the group reports.

The types of financial statement items used in FI-LC:

• Value items
• Totals items
• Ratios

The FS item is identified by a 10-digit number.

To prevent the FS chart of accounts from becoming unwieldy, FI-LC has the following additional account assignments:

• Trading partner
• Transaction type
• Transaction currency
• Year of acquisition

financial statement version

A hierarchical positioning of G/L accounts.

This positioning can be based on specific legal requirements for creating financial statements. It can also be a self-defined order.

financial statements

The financial statements are a description of the business status of a company or group as of a certain key date and are governed by internal or legal regulations.

The financial statements consit of individual statements, for example the balance sheet, income statement, statement of changes in retained earnings or cash flow, explanatory notes, and so on.

Each of these individual statements is called a financial statement and as a whole they are called the financial statements.

The financial statements should present a fair view of the entity's asset, financial, and income situation at a specified time.

financial statements

The financial statements (balance sheet, profit and loss statement) represent a picture of the financial position of a company at a point intime (typically, at the end of a reporting period).

The resources (assets), both financial and property, are displayed on the left-hand side of the balance sheet.

Claims (liabilities and equity) against those resources are displayed on the right-hand side of the balance sheet.

To balance, the assets of the company must be equal to the claims (liabilities and equity) against those resources.

The profit and loss statement summarizes the revenues generated and expenses incurred for a specific period.

The balance sheet and the profit and loss statement together form the financial statement.

finished goods inventory

An inventory of completed goods that were manufactured in house.

firm zone

A delivery schedule time zone, defined in a scheduling agreement, determining the degree to which schedule lines represent binding orders, or commitments to purchase.

The firm zone is specified in days.

Example

If the firm zone is 20 days, all schedule lines that have delivery dates that are not more than 20 calendar days in the future from the current date are regarded as "firm." They are fully binding orders or purchase commitments. If the orderer cancels a schedule line, the vendor can invoice the orderer for material and production costs incurred in manufacturing the scheduled quantity.

firm/trade-off zone

A time zone of a delivery schedule defined in a scheduling agreement consisting of two sub-zones that determine the degree to which individual lines of the schedule represent binding orders, or commitments to purchase.

There is a firm zone (indicating firm commitments) and a trade-off zone (indicating semi-firm commitments). Both are specified in days.

Example

If the firm zone amounts to 20 days, all schedule lines whose delivery dates do not lie more than 20 calendar days in the future (calculated from the current date) are regarded as "firm" (that is to say, they count as fully binding purchase commitments).

first consolidation

The activity in which, for the first time, an organization is either:

• Included in the consolidated financial statements as a subsidiary,
• Consolidated proportionally
• Accounted for according to the equity method

All consolidation methods are similar in that:

• The book values of the investors are compared to their shares in the equity of the investees.
• Asset-side differences are allocated to hidden reserves (fair value adjustments) and goodwill.
• Minority interest is calculated.

first-stage dealer

A dealer, in India, that deals in goods from manufacturers from India and abroad.

Goods can be obtained:

• From the manufacturing plant directly
• From a depot belonging to the manufacturer

fiscal year

A period of usually 12 months, for which the company produces financial statements and takes inventory.

A fiscal year need not correspond to the calendar year.

Under certain circumstances, fiscal years containing fewer than 12 months are also permitted (short fiscal year).

fiscal year variant

A variant defining the relationship between the calendar and fiscal year.

The fiscal year variant specifies the number of periods and special periods in a fiscal year and how the SAP System is to determine the assigned posting periods.

If the Consolidation system and companies to be consolidated use different fiscal year variants, the periods must be converted when individual financial data is transferred to the Consolidation system.

fixed asset

An object, a right, or another item owned by the enterprise that is intended for long-term use, and can be identified individually in the balance sheet.

The development of the values of an asset can be viewed for the asset as a whole, or can be viewed for the asset's component parts (sub-numbers).

Example

Fixed asset "printing press" with asset components "rollers" and "replacement spindle".

fixed asset account

A structure for recording the value transactions related to fixed assets within a company code.

There is one fixed asset account for each fixed asset (or fixed asset component) for each asset depreciation area.

fixed cost

The portion of the total cost that remains constant regardless of the operating rate and lot size.

For example, setup costs are normally a fixed cost because they remain the same with different lot sizes.

fixed depreciation

The calculation of depreciation amounts that are independent of the multiple-shift usage of the asset.

The SAP system allows for both depreciation that is independent of the usage of the asset and depreciation that is variable based on usage. For this purpose, you can split the depreciation of an asset into a fixed portion and a variable portion. The SAP System then multiplies the variable portion by a multiple-shift factor.

fixed value date

The date on which the terms of payment in the sales document header become effective.

fixed-cost variance

The difference between the planned fixed costs and the allocated actual fixed costs.

Fixed cost variances arise when a part of the planned fixed costs are not covered by the amount for which the cost center is credited.

Fixed cost variances can be calculated only in Overhead Cost Controlling.

Example

Interest, rent and depreciation remain the same for a factory regardless of whether it produces anything.

fixed-price co-product

A co-product (primary product) that goes into the cost estimate at a fixed price.

As is the case with by-products, the cost of the fixed price co-product is subtracted from the total cost of the process using the net realizable value method.

fixtures and fittings

An asset type in tangible fixed assets.

Fixtures and fittings covers all objects used in equipping a company except for machinery.

Flexible General Ledger

A provisional enhancement to the General Ledger

The following dimensions can be incorporated:

• SAP dimensions (for example, profit center, cost center, functional area)
• Customer-defined dimensions (for example, region, license plate number).

In contrast to the special ledgers, only minor configuration work is required.

In the flexible G/L, year-end closing can be performed in accordance with both period accounting and cost of sales accounting.

folio number

A number assigned to all entries in register RG 23D.

When you enter a goods receipt at a depot, the system generates a separate register entry for each line item in the material document. The entries are numbered consecutively. This is the folio number.

follow-up costs

Cost incurred after the manufacturing process has been completed

Example:

• Costs of rework
• Costs of warranty work

Food and Drug Administration

A public health agency, charged with protecting American consumers by enforcing the Federal Food, Drug, and Cosmetic Act and several related public health laws.

Food and Drug Administration (FDA) activities include regulating the labels foods, ensuring the safety of cosmetics, medicines, medical devices, and radiation-emitting products.

forecast

A quantity of a material that is required in the future, irrespective of whether this requirement has previously been transmitted to the vendor.

The schedule line type "forecast" represents an anticipated future requirement. There are two other types of schedule line: "backlog" (a past requirement that has already been transmitted but for which no goods have yet been delivered) and "immediate requirement" (representing an immediate need that has not yet been transmitted to the vendor).

forecast delivery schedule

An instrument used by a customer to inform a vendor which quantities of a material are to be delivered against an item of a scheduling agreement at which points in time.

The forecast delivery schedule provides the vendor with longer-term scheduling information, usually expressed in terms of calendar weeks or months.

Note:

The terminology used in the Advanced Planner and Optimizer (APO) is slightly different to that used in the standard system:

The "operative delivery schedule" (APO) corresponds to the "JIT schedule" (standard), and the "forecast/planning schedule" (APO) corresponds to the "forecast delivery schedule" (standard).

forecast delivery schedule horizon

A time interval indicating which schedule lines form the basis for aggregation when forecast delivery schedules are generated against a scheduling agreement.

The forecast delivery schedule horizon (FRC horizon) is determined on the basis of aggregation information in the release creation profile.

Example

In a scheduling agreement that is valid for three years, a release creation profile can provide that Just-in-Time (JIT) schedules are to be created and transmitted to the vendor daily in the first month starting from the current date, and forecast (FRC) schedules sent weekly in the second month. The rest of the scheduling agreement validity period is beyond the forecast delivery schedule horizon. Although schedule lines may exist, there is no provision for forecast delivery schedules in this case.

foreign currency

A currency that differs from the company code currency (country currency).

foreign currency balance sheet account

An account managed in a foreign currency.

Foreign currency balance sheet accounts can be used in accounting to represent foreign currency accounts held at banks.

foreign currency valuation

A procedure for determining at a key date the value of the current assets and liabilities posted in foreign currency.

Assets and liabilities are valuated using the unit account method of valuation which means that the individual open items are valued.

If this is not possible (because the account is not managed on an open item basis) the balance of the account is valuated instead.

foreign territory

Areas that are not part of the sales volume fiscal territory.

Foreign territory refers to sales tax regulations.

foreign trade

The export and import of merchandise between customs territories.

For example, goods traded internationally can include raw materials, finished and unfinished goods, animals, foodstuffs, mineral products, chemicals, works of art, computer software, and all manufactured articles and equipment.

Foreign Trade Journal

A log of tasks in the Strategic Cockpit of the Foreign Trade application component.

Journal tasks can be used to list activities that have already taken place, for example, on a weekly, monthly, or annual basis.

The Foreign Trade Journal provides access to import and export data to create periodic activity statements.

foreign trade organizational unit

An organizational structure used by Foreign Trade/Customs when setting up an independent Foreign Trade/Customs processing system on a separate customs server.

The foreign trade organizational unit is the same as a customs department in an enterprise. It stands for a legal unit that you use to have contact with official authorities.

The foreign trade organizational units must be assigned uniquely to the SAP R/3 organizational units (company codes).

foreign trade zone

A place designated by the Customs Service as outside a customs territory, permitting duty-free storage, display, and manipulation of imported goods.

forfaiting

A form of financing common in foreign trade.

Given sufficient certainty that receivables will be paid, special institutions purchase bills of exchange or receivables from exporters, without the exporter being liable to recourse in the event of non-payment.

Exporters improve their liquidity (by converting receivables into cash) and remove long-term receivables from their balance sheet.

form class

A predefined data structure for a specific application.

It contains all data that can be used in the application forms dependent on it - for example, a bill or meter reading order.

form of payment guarantee

A type of assurance of a sales document item.

Examples include payment card, export credit insurance, documentary payment guarantees, and so on.

formal entry

Customs terminology for shipments of US$1250.01 or more in value and all shipments under quota.

A formal entry must be cleared by a licensed customs broker in nearly all cases.

format group

A numeric value (0-5) that represents a version of layout parameters for a report.

Format groups can be defined in:

• Set lines of basic, data, and single-dimension sets
• Column definitions of a key figure block

If a format group is defined for a specific set line, the report rows and columns corresponding to this set line will then be formatted according to the layout parameters for the specified format group.

Layout parameters for which format groups can be defined include:

• Column width
• Rounding factor
• Decimal places

format group

A numeric value (0-5) that represents a version of layout parameters for a report.

Format groups can be assigned to the following elements:

• Rows of basic sets, data sets and single-dimension sets
• Columns of key figure blocks in Report Writer reports
• Columns of Report Writer reports

With the assignment of a format group the report rows and columns affected are formatted according to the layout parameters assigned to this format group.

Example:

Layout parameters for which format groups can be defined include:

• Column width
• Unit width
• Decimal places

format tree

In the Data Medium Exchange Engine, the representation of a DME file format defined by an external authority, such as a bank.

formula planning

A tool for IT-supported planning of cost center costs using mathematical dependencies.

The mathematical dependencies are represented by formulas and are stored in the planning template that is independent of the cost center. This enables more than one cost center to use the same formulas.

formula variable

A variable that represents a formula or user exit that determines a value for the variable.

The variable can be changed when a program that uses the variable is executed.

Formula variables can be used only in basic sets.

forwarding agent

An agent who performs transportation services in return for payment.

This includes organizing the shipment, delivery and receipt of goods, arranging carrier services and handling customs issues.

framework order

A purchasing document used to procure materials or external services.

Instead of stipulating a delivery date, this type of purchase order has an extended validity period.

Framework orders are defined with the document type FO. They are used in accelerated procurement processes in conjunction with maintenance/servicing plans and invoicing plans, and for blanket purchase orders (purchase orders with limits).

A framework order covers multiple procurement transactions over a longer period in cases where the administrative costs of processing discrete POs would be disproportionately high.

Free Alongside Ship

An international commercial term under which the seller fulfils the seller's obligation to deliver when the goods have been placed alongside the vessel on the quay or in lighters at the named port of shipment.

The exporter's price includes the cost of the merchandise, packing, labeling, loading and all shipping costs to the vessel or warehouse at the named point. The Free Alongside Ship (FAS) term also requires the buyer to clear the goods for export.

This term can only be used for sea or inland waterway transport.

Free Carrier

A declaration that the exporter is responsible for export clearance, packing goods, preparing goods for shipment, and for loading them in the carrier that the customer sends.

Free Carrier can be used for all modes of transport, including multimodal transport.

free goods

An agreement with a business partner for a discount on goods in a given time period.

Types of free goods are:

• Inclusive bonus quantity
• Exclusive bonus quantity

Free goods are taken into account in the following areas:

• Purchase order
• Goods receipt
• Billing document

• Invoice verification

Free On Board

An international commercial term under which the seller fulfills the seller's obligation to deliver when the goods have passed over the ship's rail at the named port of shipment.

The buyer must bear all costs and risks of loss of or damage to the goods from that point.

The Free On Board (FOB) term requires the seller (exporter) to clear the goods for export.

This term can only be used for sea or inland waterway transport.

free zone

A fictitious free trade zone in a customs territory that has been designated as a "duty free zone."

Such areas are fenced in or separated from the rest of the customs territory.

Example

Duty free zone at an international airport

free-of-charge delivery

A sales document for delivering goods to a customer free of charge.

Example

To send a customer a sample, you can create a free-of-charge delivery. The system uses this as a basis for creating a delivery.

FS chart of accounts

A classification of accounts for recording values and value streams, which can be used in group accounting to generate consolidated financial statements.

FS item type

An indicator that determines whether the financial statement item represents a balance sheet (asset or liability), income statement (profit and loss), or another type of item.

full settlement

A settlement type that allocates all remaining costs on an order or project.

function

A function allows a template to access data.

They are evaluation methods that enable you to read the values of a field or the results of a function module.

Functions are identified by the unique environment, namespace, and logical function name. They are used in the definition of methods and formulas for templates to be able to dynamically determine objects, quantities, or activation conditions, for example. They are always assigned to environments or subenvironments, and can be divided into function trees.

function authorization

An instrument that controls which purchasing functions an employee can perform.

functional area

An organizational unit in Accounting that classifies the expenses of an organization by functions such as:

• Administration
• Sales and distribution
• Marketing
• Production
• Research and development

Classification takes place to meet the needs of cost-of-sales accounting.

funds overview

A display of the following data for a project or project item:

• Actual data
• Commitment data
• Order data
• Funds still available

future standard cost estimate

A material cost estimate for the next period.

This cost estimate establishes the future standard price.