DMAAI flow - Inventory, Sales & Purchase
2630445 6 posts since Mar 13, 2014
DMAAI flow - Inventory, Sales & Purchase Mar 24, 2017 1:20 PM
I wanted to know DMAAI flow of Inventory, Sales and Purchase transactions?
As an example while shipping an item to client's inventory it would be 4240 get credited and 4220 gets debited.
Thanks in advance for your help.
Michael Curley-Oracle 610 posts since Jan 18, 2014
Re: DMAAI flow - Inventory, Sales & Purchase Mar 24, 2017 1:30 PM
I think the best resource for you on your query is KM Document E1: 40: Automatic Accounting Instructions
for Distribution (AAI / DMAAI) [Video] (Doc ID 625475.1). It shows all of the DMAAIs used and the specific
applications that use each DMAAI.
Thank you,
Michael
Chandra G -Oracle 929 posts since Jan 18, 2014
Re: DMAAI flow - Inventory, Sales & Purchase Mar 25, 2017 2:56 AM
Hello User,
Below is the procurement flow in detail-
Step 1: Order-Entry (No DMAAI validation)
Step 2: Printing Orders (No DMAAI validation)
Step 3: PO Receipt --P4312
4310--Debit Inventory
4320-Credit RNV(Received Not vouchered)
Step 4: Voucher Creation
4320-Debit (RNV nullified)
Credit PC AAI(A/P Trade Account)
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DMAAI flow - Inventory, Sales & Purchase
Note- If line type used on PO is having A/P interface OFF ( Not to create payable entries) then instead of PC
AAI DMAAI 4322 is used to complete the cycle and knock off RNV account
Step 5: Payment
Debit PC AAI(A/P Trade Account) (Nullified)
Credit Bank Account/ Cash account
So Final impact is you have Inventory in your stock and bank account depleted with that value
===========================
Inventory (Stock issue) Flow-
Issue using P4112
4122--Credit Inventory
4124-Debit Expense Account
Issue using P31113 to work order
4122--Credit Inventory
3120-Work In Process Account
======================
Sales Flow-
Step 1: Order-Entry ( No DMAAI validation)
Step 2: Print pick slip ( No DMAAI validation)
Step 3: Ship Confirmation ( No DMAAI validation)
Step 4: Sales invoice ( No DMAAI validation)
Step 5: Sales Update
Debit-RC AAI Credit- 4230 (Revenue)
Credit-4240 (Inventory)
Debit-4220 (COGS)
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DMAAI flow - Inventory, Sales & Purchase
Step 6:Receipt of payment (Invoice)
Credit RC AAI(A/R Account) (Nullified)
Debit Bank Account/ Cash account
So final impact is you have Inventory depleted from your stock and bank account amount increased (Inventory
+ Profit) value.
Thanks
Chandra
2630445 6 posts since Mar 13, 2014
Re: DMAAI flow - Inventory, Sales & Purchase Mar 25, 2017 11:35 AM
in response to Michael Curley-Oracle
Hi Michael,
Thanks for your reference. Document you have referred here is having details about the DMAAIs used not the
flow. Please advice if you have come across any document including details as Chandra mentioned.
2630445 6 posts since Mar 13, 2014
Re: DMAAI flow - Inventory, Sales & Purchase Mar 25, 2017 11:37 AM
in response to Chandra G -Oracle
Thanks a lot Chandra. Your answer has everything I wanted to know. Appreciate your help.
2630445 6 posts since Mar 13, 2014
Re: DMAAI flow - Inventory, Sales & Purchase Mar 25, 2017 12:12 PM
in response to Chandra G -Oracle
Hi Chandra,
Can you please elaborate DMAAI flow for Direct ship orders? Shall it be the same as Sales cycle except
inventory part is excluded?
Chandra G -Oracle 929 posts since Jan 18, 2014
Re: DMAAI flow - Inventory, Sales & Purchase Mar 27, 2017 5:00 AM
in response to 2630445
Hello,
3
DMAAI flow - Inventory, Sales & Purchase
Below is the flow for direct ship order-
Step 1:PO receipt (OD)
4310--Debit Inventory
4320-Credit RNV(Received Not vouchered)
Step 2:
Sales Update-
Debit-RC AAI
Credit- 4230 (Revenue)
Credit-4240 (Inventory)
Debit-4220 (COGS)
After sales update 4240 nullifies 4310 ( Inventory)
Then user can continue PO/ voucher payment process and invoice payment receipt as usual.
Thanks
Chandra
Kaliraj 129 posts since Jan 18, 2014
Re: DMAAI flow - Inventory, Sales & Purchase Jul 24, 2017 2:37 PM
in response to Chandra G -Oracle
Hi Chandra,
Thanks for the detailed flow explanation.
Can you give us similar flow explanation when taxes and price adjustments are used in sales?
Thanks,
Kaliraj
Kaliraj 129 posts since Jan 18, 2014
Re: DMAAI flow - Inventory, Sales & Purchase Jul 24, 2017 2:44 PM
in response to Kaliraj
4
DMAAI flow - Inventory, Sales & Purchase
Hi Chandra,
Also for Purchase orders with landed cost.
Thanks,
Kaliraj
Finance 513 posts since Jan 18, 2014
Re: DMAAI flow - Inventory, Sales & Purchase Jul 24, 2017 2:47 PM
in response to Kaliraj
There is a tax DMAAI (4250) if sales tax is calculated on the order and Advanced Pricing DMAAIs (4270 and
4280) depending on what type of adjustments are being performed...it's hard to give a "flow" if an example or
setup is not provided.
Kaliraj 129 posts since Jan 18, 2014
Re: DMAAI flow - Inventory, Sales & Purchase Jul 25, 2017 9:45 AM
in response to Finance
Hi,
Just want to know which will be credited and debited.
Thanks,
Kaliraj