Understanding AAIs for Contracts Setup

To bill contracts, you must identify information about the account structure and specific account values to process business transactions properly. You define the account structure and specific account values by using AAIs. The system stores the AAI values in the Automatic Accounting Instructions table (F06904). Whenever a program performs an accounting function, it accesses the Automatic Accounting Instructions table.

Distribution AAIs define the rules by which Service Management and the general ledger interact. Accounting AAIs define the rules by which Service Management and Accounts Receivable interact. When you define AAIs, you establish how the systems process transactions for various programs.

Contract-related distribution AAIs consist of:

• 1750, Contract Revenue.

• 1751, Contract Short-Term Revenue.

• 1752, Contract Long-Term Revenue.

• 1753, Contract Cancel Fees.

Based on key fields, the system retrieves the GL account to use when creating an entry in the Billing Detail Workfile table (F4812). The key fields are:

• Company

• Doc Type

• G/L Category Code

Based on these key fields, the system creates journal entries using:

• Branch/Plant

• Object Account

• Subsidiary

The system retrieves the document type and company from the contract, and identifies the appropriate GL class code according to a search hierarchy.