SAP Audit Step-SAP Amortization & Prepayment Limits

In an SAP audit, one important step is to review and assess the amortization and prepayment limits within the SAP system. This involves ensuring that the system is configured correctly to handle these financial transactions in accordance with accounting standards and company policies. Here are the key steps and transactions that can be used for this audit:

1. Access SAP Financial Accounting (FI) Module: Log in to the SAP system with the appropriate credentials and navigate to the SAP FI module.
2. Review Configuration Settings:Transaction: SPRO (SAP Project Reference Object)Path: Financial Accounting > Financial Accounting Global Settings > Preparations for Creating Consolidation > Define Amortization and Prepayment AccountsHere, you can review the configuration settings related to amortization and prepayment accounts. Ensure that these settings align with the company's accounting policies and standards.
3. Amortization Key Configuration:Transaction: OAOAReview the amortization key settings to verify that they match the predefined amortization schedules and methods required by accounting standards.
4. Prepayment Configuration:Transaction: OBYCCheck the settings for prepayment accounts and make sure they are correctly defined to handle prepayments according to company policies.
5. Amortization and Prepayment Document Creation:Transaction: F-40 (for manual prepayment posting) and F-81 (for amortization posting)Test the creation of amortization and prepayment documents to ensure that the system calculates and posts them accurately.
6. Review Document Flow:Transaction: FB03 (Display Document)Review the document flow for amortization and prepayment transactions to ensure that all related documents are correctly linked and traceable.
7. Authorization and Security Checks:Transaction: SUIM (User Information System) and PFCG (Role Maintenance)Verify that only authorized personnel have access to perform amortization and prepayment transactions within SAP. Review user roles and permissions accordingly.
8. Audit Trail and Logging:Transaction: SLG1 (Application Log)Check the audit trail and logging mechanisms to ensure that all relevant changes and activities related to amortization and prepayment are properly recorded and retained.
9. Reconciliation and Reporting:Transaction: Various FI reports (e.g., S_ALR_87011964 for Prepayment Balances)Perform reconciliations and generate reports to validate that the balances and figures related to amortization and prepayment align with financial statements and reporting requirements.
10. Documentation and Compliance:Transaction: NoneEnsure that all relevant documentation, including accounting policies, amortization schedules, and prepayment approvals, are in compliance with regulatory requirements and company policies.

Throughout the audit process, it's essential to document your findings, identify any discrepancies or issues, and work with relevant stakeholders to address and rectify them. Compliance with accounting standards and company policies is critical for accurate financial reporting and transparency.