What is open item and line item in SAP?

Open items arise from every posting transaction in a contract account and reflect unfinished business transactions. For example, an invoice item that has not yet been paid is recorded as an open item in the contract account until it is paid and cleared.

What accounts should be open item managed in SAP?

You should use open item management for bank clearing accounts, clearing accounts for goods receipt/invoice receipt, and salary clearing accounts. Bank accounts, however, do not use open item management.

What is an open item?

Open items: creditor in accounting An open item on the creditor side in accounting means that the expense or invoice from a supplier is still open and payment has not yet been made, meaning that the amount remains ‘open’ and is expected to be settled at a later date.

What is open item management in SAP Community?

A few GL accounts can be managed on an open item basis in SAP. That is every entry in the account would be stored as a Open item, unless the user selects and matches it with an other entry. This can be used for bank accounts (reconciliation), inter unit accounts, deposit accounts…

What are the sub modules of sap Fico?

SAP FI Modules contains the following sub-modules. General Ledger accounting. Accounts Receivables. Accounts Payable. Asset Accounting. Bank Accounting. Consolidation.

How to view open accounts receivables in SAP?

To view open items for accounts receivables, navigate to the following path in SAP menu: Financial Accounting -> General Ledger -> Account -> Display/Change Line Items Or directly start the transaction FBL5N from the command field. Enter the Customer account number and Company code. Then, select Open items to view open items.

How to perform automatic clearing of open items in SAP?

We will discuss different ways to perform clearing of open items in SAP ERP: SAP Automatic Clearing and SAP Manual Clearing. Our explanation will be illustrated by examples for customer, vendor, and G/L accounts. Open items in SAP are incomplete transactions (e.g., outstanding vendor payment or pending customer payment).