How To Fix FARR_FOUNDATION121 - Account determination for recognized revenue failed for company code &1

SAP Error Message - Details

• Message type: E = Error

• Message class: FARR_FOUNDATION - Revenue Accounting - Foundation

• Message number: 121

• Message text: Account determination for recognized revenue failed for company code &1

What causes this issue?

The account determination for the <ZK>recognized revenue </>account
failed because the system found no configuration entry for company code
&v1&, accounting principle &v2&, POB type &v3& and reference account
&v4&.

System Response

The revenue accounting item was not processed for accounting principle
&v2&.

How to fix this error?

Maintain a matching entry in the
<DS:TRAN.FARR_ACCT_DETER_CUST>BRF+ Account Determination Rules</> on
the tab <ZK>Recognized Revenue</>.

Procedure for System Administrators

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message FARR_FOUNDATION121 - Account determination for recognized revenue failed for company code &1 ?

  The SAP error message FARR_FOUNDATION121 indicates that there is an issue with the account determination for recognized revenue in the context of the SAP Revenue Accounting and Reporting (RAR) module. This error typically occurs when the system is unable to find the appropriate accounts for recognized revenue based on the configuration settings.
  Cause:
  The error can be caused by several factors, including:
  
  
  Missing Account Determination Configuration: The account determination settings for recognized revenue may not be properly configured in the system for the specified company code.
  
  
  Incorrect or Incomplete Master Data: The master data related to the revenue recognition process (such as revenue types, contract accounts, etc.) may be incomplete or incorrectly set up.
  
  
  Missing or Incorrectly Assigned G/L Accounts: The General Ledger (G/L) accounts required for revenue recognition may not be assigned or may be incorrectly assigned in the configuration.
  
  
  Company Code-Specific Settings: The settings for the specific company code may not be properly defined, leading to the inability to determine the correct accounts.
  
  
  Solution:
  To resolve the error, you can follow these steps:
  
  
  Check Account Determination Configuration:
  
  Navigate to the configuration settings for account determination in the SAP RAR module.
  Ensure that the account determination for recognized revenue is properly set up for the relevant company code.
  You can find this under the path: SPRO > Financial Accounting > Revenue Accounting and Reporting > Account Determination > Define Account Determination for Recognized Revenue.
  
  
  
  Review Master Data:
  
  Verify that all relevant master data is complete and correctly configured.
  Check the revenue types and ensure that they are linked to the correct accounts.
  
  
  
  Verify G/L Account Assignments:
  
  Ensure that the necessary G/L accounts for recognized revenue are created and assigned correctly in the configuration.
  Check if the accounts are active and available for posting.
  
  
  
  Check Company Code Settings:
  
  Review the settings specific to the company code in question to ensure that they are correctly defined.
  Make sure that the company code is properly set up in the RAR configuration.
  
  
  
  Test the Configuration:
  
  After making any changes, perform a test to see if the error persists.
  You can simulate a revenue recognition process to check if the account determination works as expected.
  
  
  
  Related Information:
  
  Transaction Codes: You may need to use transaction codes such as SPRO for configuration, FARR for Revenue Accounting and Reporting, and OB52 for G/L account settings.
  Documentation: Refer to SAP Help documentation for detailed guidance on configuring account determination in RAR.
  SAP Notes: Check for any relevant SAP Notes that may address known issues or provide additional guidance on this error.
  
  If the issue persists after following these steps, it may be beneficial to consult with your SAP support team or a consultant with expertise in SAP RAR for further assistance.