Cash flow transactions

The transactions that affect the cash flow forecast are purchase and sales orders. The cash flow transactions are also dependent on the configuration of the company-wide parameters and the master data setup.

Purchase order cash flow forecast

This section illustrates the cash flow forecast transaction for a purchase order (PO). The order's data is as follows:

• Configuration of the accounts payable module's parameters:
  • Time between delivery date and invoice date: 5 days
  • Time between invoice due date and payment date: 7 days
  • Vendor master data:
    • Terms of payment: 15 days
  • Purchase order data:
    • Purchase order date: January 1
    • Purchase order quantity: 1 Piece
    • Default currency: USD
    • Purchase price: 1,000 USD

The purchase order was created on January 1. Based on the setup of the period between delivery and invoice, which is 5 days, the date will be January 6 (by adding 5 days to the PO line date). Then, based on the setup of the terms of payment, which is 15 days, the date will be January...