What is 'provision' in SAP SRD-FIN-GL - FIN-General Ledger?

provision - Overview

• Component: SRD-FIN-GL

• Component Name: FIN-General Ledger

• Description: Amount of an expense that must be recognized currently when the exact amount of the expense is uncertain.

provision - Details

• 
  Key Concepts: 
  Provision is an accounting term used to describe a liability that is expected to be paid in the future. In SAP, provision is used to record liabilities that are expected to be paid in the future, such as taxes, salaries, and other expenses. 
  
  How to use it: 
  In SAP, provision is used to record liabilities that are expected to be paid in the future. To create a provision, you must first create a provision account in the General Ledger Accounting component of SRD-FIN-GL. Once the account is created, you can enter the amount of the liability and assign it to the appropriate account. 
  
  Tips & Tricks: 
  When creating a provision in SAP, it is important to ensure that the amount of the liability is accurate and up-to-date. Additionally, it is important to ensure that the account assigned to the provision is correct and that all relevant information is included. 
  
  Related Information: 
  For more information on how to create a provision in SAP, please refer to the SAP Help documentation for SRD-FIN-GL FIN-General Ledger Accounting. Additionally, you can find more information on accounting terms and concepts on Investopedia.