Symptom
Currently, the cash flow report is available only for China, Korea, and Japan. It is a standard financial statement that details information relating to cash relevant income and expenses, and cash equivalents, within a defined period.
Cause
Legal requirement
Solution
In 8.8 patch 17, the direct method for cash flow statement preparation is used in all localizations. The cash flow report function was extended, with enhancements, from China, Korea, and Japan to all SAP Business One localizations. The extended functions include:
- Cash flow report setup (the settings in China, Korea, and Japan remain unchanged):
- Global setting for assigning cash flow line items to cash flow relevant transactions (Administration -> System Initialization -> General Settings -> Cash Flow tab).
For localizations other than CN, KR, and JP, for new companies, the default values on the tab are as follows: For "Assignment of Cash Flow Line Item", the default value is
Optional. The default primary form cash flow line item for incoming payments is
Payments for Invoices from Customers. The default primary form cash flow line item for outgoing payments is
Payments for Invoices to Vendors. For "Assignment in Transaction with All Relevant Cash Flow", the default value is
Ignore Without Warning.
- To define the cash flow line items that are assigned to cash flow-relevant transactions, choose Administration -> Setup -> Financials -> Cash Flow Line Items.
For localizations other than CN, KR, and JP, cash flow line items were enhanced to support three areas of cash flow: operating activities, investing activities, and financing activities.
- To access the "Cash Flow Relevant" checkbox for accounts in the "Asset" drawer, choose Financials -> Chart of Accounts -> Asset drawer.
For localizations other than CN, KR, and JP, for all companies, the default value of the checkbox indicating a cash account (that is, the "Cash Account" checkbox of the G/L account is selected) is selected.
- Cash flow report template (the template in China and Japan remains unchanged)
To access the template, from the SAP Business One Main Menu, choose Financials -> Financial Report Templates. In the "Financial Report Templates" window, in the "Report" dropdown list, select "Cash Flow", and in the "Template" dropdown list, select "Default cash flow report (direct method)".
To access the cash flow report, from the SAP Business One Main Menu, choose Financials -> Financial Reports -> Financial -> Cash Flow Report. Specify your selection criteria, and choose the "OK" button.
- Cash flow reference report
The report displays a list of cash flow relevant transactions that may or may not have been assigned a cash flow line item within a certain period. To access the cash flow reference report, from the SAP Business One Main Menu, choose Financials -> Financial Reports -> Accounting -> Cash Flow Reference Report. Specify your selection criteria, and choose the "OK" button.
In 8.8 patch 17, the following enhancements, in addition to those mentioned above, were made in all localizations when the function was extended:
- The "APA Cash Flow Assignment" window was renamed "Combined Cash Flow Assignment" window.
- Consistency in assignment of cash flow line items between transactions and their corresponding journal entries was enhanced.
Currently, the cash flow line item assignment in a transaction is copied to its journal entry. However, if the cash flow line item assignment is changed in the journal entry, this change is not reflected in the transaction. The cash flow line item assignment was enhanced to be consistent between transactions and their corresponding journal entries. The following functions were affected:
- In the recommendation report of the payment wizard, the column "Primary Form Item" was added.
For G/L accounts or interim G/L accounts that are cash flow relevant, you can specify the cash flow line item or define a new assignment in the "Combined Cash Flow Assignment" window. The default value is the primary form cash flow line item you defined for incoming/outgoing payments on the "Cash Flow" tab of the "General Settings" window.
- On the "Checks", "Credit Card", and "Cash" tabs of the "Deposit" window, and in the "Postdated Check Deposit" window, the column "Primary Form Item" was added.
If the bank account you specified is cash flow relevant, you can specify the cash flow line item or define a new assignment in the "Combined Cash Flow Assignment" window.
- In the "Cash Flow Statement - Selection Criteria" window, the following enhancements were made:
- The field "Actual Period" was added: specify a date range for the report.
- The field "Previous Period" was added: specify a date range for the comparison period. Select the checkbox to display the comparison period in the report.
- For localizations other than CN, KR, and JP, the "Previous Report" button was removed. For the CN, KR, and JP localizations, the function of the "Previous Report" button remains unchanged.
- In the "Cash Flow Report" window, the following enhancements were made:
- The column "Amount" was renamed "Actual Period": displays the value for particular lines according to the template you specified in the selection criteria.
- The column "Previous Period" was added: displays the value for particular lines according to the template you specified in the selection criteria.
- For localizations other than CN, KR, and JP, the "Save" button was removed. For localizations CN, KR, and JP, the function of the "Save" button remains unchanged, that is, you can save the report without the comparison values even if you displayed them in the report.
- You can print the report after you display it. This means that for localizations CN, KR, and JP, you can print the report without saving it first.
- A new print layout Cash Flow Report (System) is available with the renamed column "Actual Period" and the new column "Previous Period". For localizations CN, KR, and JP, two print layouts are available, the old one, displaying the column "Amount", and the new one.
- In the Cash Flow Reference report, for transactions for which more than one cash flow line item is assigned, the debit/credit amounts are displayed separately according to their corresponding cash flow line items. The link button in the "Primary Form Item" column was also removed.
Note
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