How To Fix FARR_PROCESS_CHECK023 - Main price condition missing for performance obligation &1

SAP Error Message - Details

• Message type: E = Error

• Message class: FARR_PROCESS_CHECK - Messages for Input Checks in Process Layer

• Message number: 023

• Message text: Main price condition missing for performance obligation &1

What causes this issue?

This performance obligation is not a linked performance obligation, and
must therefore have a price.

System Response

The system can not process this revenue accounting item.

How to fix this error?

Add a non-statistical price condition that is marked as main price.

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_PROCESS_CHECK023 - Main price condition missing for performance obligation &1 ?

  The SAP error message FARR_PROCESS_CHECK023 indicates that there is a missing main price condition for a performance obligation in the context of revenue recognition. This error typically arises in the SAP S/4HANA system when dealing with contract management and revenue accounting, particularly in the context of the new revenue recognition standards (IFRS 15/ASC 606).
  
  Cause:
  The error occurs when:
  
  A performance obligation is defined in a contract, but there is no corresponding main price condition (such as a sales price or discount) associated with it.
  The system expects a price condition to be present for the performance obligation to calculate revenue correctly.
  There may be configuration issues in the pricing procedure or missing entries in the condition records.
  
  
  Solution:
  To resolve this error, you can take the following steps:
  
  
  Check the Performance Obligation:
  
  Navigate to the contract or sales order associated with the performance obligation.
  Ensure that the performance obligation is correctly defined and that it has the necessary attributes.
  
  
  
  Verify