What is external business transaction in SAP FS-BA-PM-AFP - Accounting for Financial Products?

SAP Term: external business transaction

• Component: FS-BA-PM-AFP

• Component Name: Accounting for Financial Products

• Description: Contains data that comes from an operation executed as part of an operative logical process in a feeder system. It is not dependent on the accounting system and does not contain accounting system-dependent data. It is delivered from external systems to the Bank Analyzer. To enable the external business transaction to be posted, the language of the logical feeder systems must be transformed into the language of accounting. &EXAMPLE& Purchase, sale, disbursement, redesignation, bond warrant split, conclusion of a contract.

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• Key Concepts: 
  External business transactions are a type of financial transaction that occurs between two parties outside of the company. This type of transaction is typically used to purchase goods or services from an external vendor. In SAP, the FS-BA-PM-AFP Accounting for Financial Products component is used to manage and record these external business transactions. 
  
  How to use it: 
  The FS-BA-PM-AFP Accounting for Financial Products component can be used to manage and record external business transactions. This includes creating and managing contracts, tracking payments, and generating reports. The component also allows users to set up payment plans and track the progress of each transaction. 
  
  Tips & Tricks: 
  When setting up payment plans for external business transactions, it is important to ensure that all parties involved are aware of the terms and conditions of the agreement. Additionally, it is important to keep track of all payments made and received in order to ensure accuracy in reporting. 
  
  Related Information: 
  The FS-BA-PM-AFP Accounting for Financial Products component is part of the SAP Financials suite of products. Other components in this suite include SAP Cash Management, SAP Treasury Management, and SAP Credit Management. These components can be used together to manage financial transactions within a company.