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Former Member
Jan 04, 2008 at 03:53 PM

Change required to Company Financial Year

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Hi

I have the following scenario:-

Co A has taken over Co B. The 2 companies (both on SAP) currently have different fiscal years. Co A operates their financial year from Oct - Sept (Oct 08 - Sept 09 = FY 2009), Co B operates their financial year from Feb - Jan (Feb 08 - Jan 09 = FY 2009).

We want to bring Co B's financial reporting in line with Co A's and therefore need to change their Fiscal year variant, which would involve the following:-

- Create a new fiscal year variant for Oct - Sept, this will be year specific and for 2008 will be a shortened fiscal year (i.e. only for Feb - Sept). A potential problem I see is that Co A's Fiscal Year is slightly behind Co B's (i.e. Co B should be going into Fiscal Yr 2009 if they hadn't been taken over, Co A is in fiscal year 2008 until end of Sept and therefore we are going to have duplicate period postings for some of 2008??)

- The year end for Co B needs to be carried out as at the end of Jan 08

- Assign the new fiscal year variant to Co B in the Co Code and the Controlling Area

I have a query as to what will appear against an account in the balance display for 2008?

The reason I ask this is due to the fact that we have just closed the fiscal year 2008, based on the old fiscal year variant, but then due to the fact that the new fiscal year from Feb - Sept will also be 2008 (in order to bring it into line with Co A).

What is the impact in terms of Fixed Assets?

How would Co B carry out post year adjustments to the financials? Assumably they would have to reassign the co code to the old fiscal year variant and then make the postings and then reassign it back to the new fiscal year variant?

Would it be better to just create a new co code and transfer the balances??

Your advice would be much appreciated or any experience of anyone having done this before would be much appreciated.

Regards

Claire