When a Sales Order is placed for a requirement made by a customer, then it is passed to create a purchase order this would depend upon the requirement. Then the value flow gets passed to Finance at the time of goods movement. In case of Sales Dept. the impact on Finance happens only at the time of billing. The complete process explains about Procurement Cycle Run.

APC would refer to Asset Transactions other than depreciation; Accumulated Depreciation is the total amount of depreciation calculated on a particular asset and Depreciation is a decrease in the value of an asset due to wear and tear.

The Journal entries are passed in GR/IR account to maintain the temporary record of flow, since during the time between the invoice being created and delivery of goods, there can be a timing difference, in order to accommodate this timing difference.

Value from MM to FI is defined in OBYC…. on the material master the flow of values are assigned on the Costing, accounting, etc tabs where the system helps to post the necessary stock values into the appropriate GL accounts. Helps to determine, the GL accounts updated when there is a movement of goods.