Skip to Content
avatar image
Former Member

FI MM Integration


Can anyone tell me how the system determines which account to be debited and which account to be credited say at the time of making GRN. As far my understanding, Debit /credit indicator is attached to each movement type. However that Dr/Cr indicator will only determine debiting or crediting of Inventory account .

However my doubt is on what basis system determines offsetting entry for inventory to be debited or credited.

for Example when M.type 101 takes places, Inventory is debited and GRIR is credited. Inventory is getting debited based on S (debit) indicator attached to M.type 101. But on what ground system determines that GRIR account is be credited and not to be debited.

Likewise while doing MIRO also, how the system determines that GRIR account is to debited ( not credited), and vendor account is to be credited (not debited).

Kindly clarify on the same.

Warm Regards

Karthikeyan G

Add comment
10|10000 characters needed characters exceeded

  • Get RSS Feed

1 Answer

  • avatar image
    Former Member
    May 30, 2011 at 06:46 AM

    Dear Karthikeyan,

    the account to be hit is determined by automatic account configuration. Following factors determine the GL account to be hit during any goods movement:

    1. Goods movement type.

    2. Valuation class,

    3. Valuation grouping code (Plant)

    and so on.

    Based on the combination of the above values, the GL account hit will be determined.

    Thanks and regards,


    Add comment
    10|10000 characters needed characters exceeded