How To Fix UCF6065 - Equity method posting: Scope &2: Item &1 is not a balance sheet item

SAP Error Message - Details

• Message type: E = Error

• Message class: UCF6 - Messages for Consolidation of Investments

• Message number: 065

• Message text: Equity method posting: Scope &2: Item &1 is not a balance sheet item

What causes this issue?

The investment items you specify under "Equity Method Posting" must
have the <DS:GLOS.615F0191A481D511B1250008C784EFB1>item type</>
"balance sheet".
For scope &V2& you specified investment item &V1&, which has a
different item type.

System Response

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

How to fix this error?

Either change the item type of item &V1&, or do not use this item.

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message UCF6065 - Equity method posting: Scope &2: Item &1 is not a balance sheet item ?

  The SAP error message UCF6065 indicates an issue related to equity method postings in the context of financial accounting. Specifically, it suggests that the item being referenced is not classified as a balance sheet item, which is necessary for the equity method of accounting.
  Cause:
  The error typically arises due to one of the following reasons:
  
  Incorrect Configuration: The item being posted is not set up correctly in the system. It may not be defined as a balance sheet item in the chart of accounts.
  Posting to Incorrect Account: The account being used for the equity method posting is not a balance sheet account, which is required for such transactions.
  Data Entry Error: There may be a mistake in the data entry, such as selecting the wrong account or item.
  
  Solution:
  To resolve the UCF6065 error, you can take the following steps:
  
  
  Check Account Configuration:
  
  Go to the configuration settings for your chart of accounts and verify that the account in question is set up as a balance sheet account. This can be done in the SAP transaction code OBD4 (for account types) or FS00 (for account master data).
  Ensure that the account type is set to "Balance Sheet" (typically, this is indicated by the account type 'A' for assets or 'L' for liabilities).
  
  
  
  Review Posting Logic:
  
  Ensure that the posting logic for the equity method is correctly implemented. This may involve checking the relevant configuration in the Financial Accounting (FI) module and the settings for equity method accounting.
  
  
  
  Correct Data Entry:
  
  If the error is due to incorrect data entry, review the transaction that triggered the error and ensure that the correct account is being used for the equity method posting.
  
  
  
  Consult Documentation:
  
  Review SAP documentation or help resources related to equity method accounting to ensure compliance with the required configurations and processes.
  
  
  
  Seek Help from SAP Support:
  
  If the issue persists after checking the above points, consider reaching out to SAP support or your internal SAP team for further assistance. They may provide insights specific to your system configuration.
  
  
  
  Related Information:
  
  Equity Method Accounting: This method is used for accounting for investments in associates and joint ventures, where the investor recognizes its share of the investee's profits or losses.
  Balance Sheet Accounts: These accounts represent the financial position of a company at a specific point in time, including assets, liabilities, and equity.
  SAP Transactions: Familiarize yourself with relevant SAP transactions such as FS00 (to manage account master data) and OBD4 (to configure account types).
  
  By following these steps, you should be able to identify and resolve the cause of the UCF6065 error in your SAP system.