This is a follow on assignment to the assignment in module 3. The objective of this assignment is to show the students how a fully integrated system like an ERP system processes the transactions within the revenue cycle (sales to cash). Because we covered application controls and some of the system setting in the previous module, they are not repeated in this module. As we did in module 3, the approach we use in the assignment is the same as an auditor would do when doing a test of transactions. That is, we ask the student to walk through each of the steps of the business process and examine all of the pertinent accounts. Hopefully, this forces the students to think about not just the entries being made in the accounting part of the system, but also the other parts of the system, such as the sales area, the inventory control area, shipping, the billing area, account receivable and the collection of the payment.

There is a student video that gives the students some helpful points. At this point of the course there should be no need to walk the students through the SAP exercise. Instead we expect the students to be able to do all of the transactions without any hand holding. The suggestions we provide in the video provide clarification and also suggest ways of making their work a little more efficient.

A video is provided for your use (the instructor) that discusses some of the more important aspects of the problem and an approach to grading the assignment. As in the previous assignment (module 3), there is a single report that you can use to verify that the students have completed the assignment. The transaction code is S_ALR_87012172. The instructor’s video demonstrates this report.

The point that should be stressed is the Display Document Flow function in the sales and distribution module. This is a great way for the students to see how integrated the system is and how the related documents are linked together.

System Configuration

This assignment is preconfigured in a golden client that can be copied and used without any modifications necessary by you. This means that all of the company codes, the chart of accounts, materials management and financial accounting modules are already set up and ready for the students to work. The idea is that for each new semester you can start with a clean client copy of the system and use that system for any or all of the modules in this module set (the accounting information systems modules).

Student accounts are all predefined with the appropriate authorizations to do their work. The student accounts start with USER-01 and end with USER-99. The initial password for each account is SAP4US. I usually do not assign accounts USER-95 to USER-99 to any students and instead reserve them for my own use. If your class size exceeds the number of available accounts, then you can just request an additional client and assign the additional students accounts on that client.

If you are serviced by a hosting center, contact your system administrator for access to the system. If your school is self-hosted, then you need to have your system administrator contact the CSU Chico hosting center to provide a client copy of the system.


This assignment is one of the last assignments of the semester and is designed so that the students can complete it in a reasonable amount of time and that the faculty grading of the assignment is not too taxing. Again, we put the answers into the abbreviated form the students are told to use to hand in the assignment.

1. Create Sales Views for Finished Product Big_Trophyxx

2. Create a Customer Master record

2.1 In general, what information should be entered by the sales personnel?

All customer relationship information should be entered by the sales staff.

and what data should be entered by the accounting department?

The customer’s financial information should be entered by the accounting area. This is confidential information that the sales people don’t need to access.

Be sure to justify each answer.

3. Set up Credit Limits for the Customer

4. Check inventory availability

4.1 If the customer is ordering 20 items, do we have enough to fill the order?

If the student did the previous assignment properly, then there should be 50 units available.

4.2 One of the auditor’s roles is to verify inventory values. Show how you would verify the dollar value in the ledger account with the material amount that you found in the above step. Hint: What is the cost of the good?

Multiply the unit cost information in the material master record times the units in the inventory control area and then compare that with the G.L. Resale Merchandise Inventory account.

4.3 What documents would the auditor look for to verify the cost? Hint: Think about the previous assignment.

The auditor should look at the purchase orders and invoices for the goods (i.e. the vouchers) to verify the amount paid for the goods.

5. Check status of various accounts.

Sales Customer

MM Inv. GL Cash GL Inv. Revenue COGS GL AR Subledger

After Step 4 / 50 / -$1,500 / $1,500 / 0 / 0 / 0 / 0
After Step 8 / 50 / -$1,500 / $1,500 / 0 / 0 / 0 / 0
After Step 10 / 50 / -$1,500 / $1,500 / 0 / 0 / 0 / 0
After Step 13 / 30 / -$1,500 / $900 / 0 / $600 / 0 / 0
After Step 16 / 30 / -$1,500 / $900 / -$1,000 / $600 / $1,000 / $1,000
After Step 21 / 30 / -$520 / $900 / -$1,000 / $600 / 0 / 0

6. Create a Sales Order

Write down the sales document number: ______

7. Display the sales order and record the scheduled delivery date and pricing information

Fill in the following details from the information on the screen:

Display Standard Order: Overview

Field / Data
Delivery date
Material available date
Loading Date

Record the cash discount for this item ______.

8. Display the document flow for the sales order using the following menu path.

Select the Status Overview button and record the current status of the sales order.


9. Repeat the checks in step 5 and record in that table.

10. Create the delivery for the sales order

Write down the Delivery Note number: ______

11. Repeat the checks in step 5 and record in that table.

12. Check document flow as you did in step 8 and write down the current status of the order.

13. Change the delivery note and update the picked quantity. Post goods issue to notify that the delivery as left the plant

14. Repeat the checks in step 5 and record in that table.

15. Display the document flow as you did in step 8 and write down the current status of the order.


16. Create an invoice (Bill) for the delivery

What is the data value in “Net Value”? ____$1000______

Write down the billing document number: ______

17. Repeat the checks in step 5 and record in that table.

18. Display the document flow as you did in step 8 and write down the current status of the order.


19. View the Invoice in Print Form

20. Locate the accounting document number.

Accounting Document number: ______

21. Post payment to the invoice created

Document Number: ______

22. Repeat the checks in step 5 and record in that table.

23. Display the document flow as you did in step 8 and write down the current status of the order.


There are now multiple items in the document flow. Explain each of them.

©SAP AG 2009 / SAP University Alliances