What is fund equity account in SAP PSM - Public Sector Management?

SAP Term: fund equity account

• Component: PSM

• Component Name: Public Sector Management

• Description: Any G/L account for an equity fund. In business terms, this is called "owners' equity" or "stockholders' equity". It includes "fund balance" or "net assets" "retained earnings" which SAP creates based on differences between the different accounting methods available.

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• Key Concepts: 
  Fund equity account is a type of account used in SAP Public Sector Management (PSM) to track the financial resources of a fund. It is used to record the fund’s assets, liabilities, and equity. The fund equity account is also used to track the fund’s income and expenses. 
  
  How to use it: 
  In SAP PSM, the fund equity account is used to record all transactions related to the fund. This includes transactions such as deposits, withdrawals, transfers, and investments. The fund equity account can also be used to track the fund’s performance over time. 
  
  Tips & Tricks: 
  When using the fund equity account in SAP PSM, it is important to ensure that all transactions are accurately recorded. This will help ensure that the fund’s financial resources are accurately tracked and reported. 
  
  Related Information: 
  The fund equity account is closely related to other accounts in SAP PSM such as the general ledger and the budget accounts. It is important to understand how these accounts interact with each other in order to effectively manage a fund’s financial resources.