What is calculation method in SAP FS-BA-PM-CR - Credit Risk?

SAP Term: calculation method

• Component: FS-BA-PM-CR

• Component Name: Credit Risk

• Description: Groups together the methods used to calculate the credit exposure. The calculation method is defined by the settings stored for the combination of the approach used to calculate the capital requirement, and those of the calculation type. For the credit exposure run, the calculation method is stored in the run type.

Smart SAP Assistant

• Key Concepts: 
  Calculation Method is a component of the Credit Risk module in SAP FS-BA-PM-CR. It is used to define the calculation logic for credit risk calculations. This includes defining the parameters and formulas used to calculate the credit risk of a customer or counterparty. 
  
  How to use it: 
  The Calculation Method component can be used to define the parameters and formulas used to calculate the credit risk of a customer or counterparty. This includes setting up the calculation logic, such as defining the parameters and formulas used in the calculation. The Calculation Method component can also be used to define the rules for how credit risk is calculated, such as setting up thresholds for when a customer or counterparty is considered high risk. 
  
  Tips & Tricks: 
  When setting up the Calculation Method component, it is important to ensure that all parameters and formulas are correctly defined. This will ensure that the credit risk calculations are accurate and reliable. Additionally, it is important to regularly review and update the Calculation Method component to ensure that it remains up-to-date with any changes in regulations or industry standards. 
  
  Related Information: 
  For more information on the Calculation Method component of SAP FS-BA-PM-CR, please refer to the official SAP documentation. Additionally, there are many online resources available that provide detailed tutorials and guides on how to use this component.