What is consumption item for partner settlement in SAP FI-CA-INV - Convergent Invoicing?

SAP Term: consumption item for partner settlement

• Component: FI-CA-INV

• Component Name: Convergent Invoicing

• Description: In the same way that consumption items make data available that is used for determining the price a customer pays for using a service, consumption items for a partner settlement make available the data that is used to determine the amount that is to be transferred to a partner. Consumption items for partner settlement arise at the point in time at which the consumption items for customers are converted to billable items. Consumption items for partner settlement can be created, for example, for royalties, commissions, or other fees regulated by law.

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• Key Concepts: 
  Consumption item for partner settlement is a feature of the FI-CA-INV Convergent Invoicing component of SAP. It allows for the automatic settlement of invoices between two partners, such as a customer and a vendor. The consumption item is used to track the amount of goods or services consumed by each partner, and the settlement process is used to reconcile the differences between the two.
  
  How to use it: 
  To use the consumption item for partner settlement, first create an invoice for each partner. Then, enter the consumption item for each partner in the invoice. This will allow SAP to track the amount of goods or services consumed by each partner. Finally, run the settlement process to reconcile any differences between the two invoices.
  
  Tips & Tricks: 
  When creating an invoice for each partner, make sure to include all relevant information such as quantity, unit price, and total amount. This will ensure that SAP can accurately track and reconcile any differences between the two invoices.
  
  Related Information: 
  For more information on using consumption items for partner settlement in SAP FI-CA-INV Convergent Invoicing, please refer to SAP's official documentation.