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Dushyant2729
Explorer
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This blog will show how we can perform different processing steps to calculate interest in SAP PS.

Here, I am using the same configuration steps that I posted in my previous blog, End to end Configuration for Project Interest calculation 

In this blog, I am covering both the annual and monthly interest calculation processes. 

Testing of Configuration

Annual compound Interest setup  

Create project (CJ01)

Dushyant2729_0-1718682585269.png

 Create vendor Invoice on Level 2 WBS (FB60)

Posting in April

Dushyant2729_1-1718682585277.png

Project Cost report (CJI3)

Dushyant2729_2-1718682585283.png 

Now we will Run Interest calculation for April month (CJZ2)

Formula for Interest Calculation = (rate of Interest/365) *(No of days) *(Total Balance in Particular month)

Dushyant2729_3-1718682585288.png

 

 

Project Actual Cost report.

Dushyant2729_4-1718682585294.png

 

 

Dushyant2729_5-1718682585300.png

 

Total Interest calculation

Rate of Interest = 10%

No of days = 30 (April month)

Total Cost = 10000 euro

Interest calculated = (0.1/365) *30*10000

                                    = 82.19 EURO           

  

What if we calculated Interest in may Month?

Additional 10000 EURO Cost posted on WBS in may month

Dushyant2729_6-1718682585306.png

 

Let’s calculate Interest Again for may month (CJZ2)

 

Dushyant2729_7-1718682585311.png

 

Dushyant2729_8-1718682585318.png

 

Dushyant2729_9-1718682585322.png 

Total Interest calculation

Rate of Interest = 10%

No of days = 31 (May month)

Total Cost = 20000 euro (excluded already posted interest cost as we are using annual compound)

Interest calculated = (0.1/365) *31*20000

                                    = 169.86 EURO        

 

                            

Monthly compound interest

Let’s Change Compound Interest period to monthly in (OPIB)

Dushyant2729_10-1718682585327.png

 

Let’s run the process again on new WBS element

New project CJ01)

 

 

Dushyant2729_11-1718682585334.png

 

Post a vendor invoice in April month

Dushyant2729_12-1718682585340.png

 

Project Actual Cost report (CJI3)

 

Dushyant2729_13-1718682585345.png

 

Let’s run the Interest calculation Again (CJZ2)

Dushyant2729_14-1718682585351.png

 

Actual Cost report (CJI3)

Dushyant2729_15-1718682585357.png

 

Dushyant2729_16-1718682585362.png

 

Total Interest calculation

Rate of Interest = 10%

No of days = 30 (April month)

Total Cost = 10000 euro

Interest calculated = (0.1/365) *30*10000

                                    = 82.19 EURO

  

What if we calculated Interest in may Month?

Additional 10000 EURO Cost posted on WBS in may month

Dushyant2729_17-1718682585368.png

 

Project Actual Cost report (CJI3)

Dushyant2729_18-1718682585374.png

 

Let’s run the Interest calculation Again (CJZ2)

Dushyant2729_19-1718682585379.png

 

Project actual cost report (CJI3)

Dushyant2729_20-1718682585386.png

 

Dushyant2729_21-1718682585390.png

 

Total Interest calculation

Rate of Interest = 10%

No of days = 31 (May month)

Total Cost = 20082.19 euro (included already posted interest cost as we are using monthly compound)

Interest calculated = (0.1/365) *31*20082.19

                                    = 170.56 EURO        

We can utilise all of these process steps to calculate interest in SAP project system. Please comment with any suggestions or corrections for the post, and I will update.

I appreciate your time spent reading my blog.

Regards

Dushyant Singh