Understanding Billing AAIs

Before you generate accounting entries in preliminary or final mode, you must set up accounting rules in the billing AAIs. These billing AAIs are the links between day-to-day accounting functions, the chart of accounts, and financial reports. The system uses billing AAIs to determine how to distribute G/L entries that the system generates. For example, in Contract and Service Billing, the billing AAIs identify how to enter the transaction when you invoice a customer for goods or services rendered.

Each billing AAI is associated with a specific G/L account that consists of a business unit, object, and, optionally, a subsidiary, subledger, and subledger type.

If you are required to collect taxes on customer invoices, you use the billing AAIs to distribute the tax amounts to the correct G/L accounts.

The system stores the billing AAIs in the Billing AAI Information table (F48S95).