What is GR/IR clearing in SAP FIN-BAC-INV - Inventory Accounting?

SAP Term: GR/IR clearing

• Component: FIN-BAC-INV

• Component Name: Inventory Accounting

• Description: Function that determines price variances between valuated goods receipts and invoice receipts. Periodic WIP clearing runs compare valuated goods receipts with the corresponding invoice receipts and calculate the price differences between them. Any differences determined at an earlier time are included. The differences are posted as price variances either to a price difference account or directly to the account of the material or the defined assignment object.

Smart SAP Assistant

• Key Concepts: 
  GR/IR clearing is a process in SAP that allows for the reconciliation of goods receipts (GR) and invoice receipts (IR). This process is used to ensure that the goods received match the invoice received, and that the correct amount of goods have been received. The GR/IR clearing process is part of the Inventory Accounting component in SAP. 
  
  How to use it: 
  The GR/IR clearing process is initiated when a goods receipt is posted. The system will then check to see if there is an invoice receipt for the same amount of goods. If there is, then the GR/IR clearing process will be completed. If there is not, then the system will create a GR/IR clearing account to hold the value of the goods until an invoice receipt is posted. Once an invoice receipt is posted, the system will reconcile the two documents and clear the GR/IR account. 
  
  Tips & Tricks: 
  It is important to ensure that all goods receipts and invoice receipts are posted in a timely manner in order to avoid any discrepancies between them. Additionally, it is important to ensure that all goods receipts and invoice receipts are accurate and up-to-date in order to ensure that the GR/IR clearing process runs smoothly. 
  
  Related Information: 
  For more information on GR/IR clearing, please refer to SAP's official documentation on Inventory Accounting (FIN-BAC-INV). Additionally, you can find more information on GR/IR clearing in SAP's online help documentation.