Introduction to SAP Joint Venture Accounting, Part II

A joint venture (JV) is an arrangement in which two or more parties come together and agree to pool their resources for a specific task. This task can be a new project or any other business activity. In a joint venture, each partner is responsible for profits, losses, and costs associated with the venture. Joint venture accounting (JVA) is becoming a more relevant concept as the number of partner-oriented business models increase and new avenues of business combinations are taken. SAP Joint Venture Accounting provides a complete accounting system for JVs.

Joint venture accounting (JVA) is becoming a more relevant concept as the number of partner-oriented business models increase and new avenues of business combinations are taken. In Part I of this series we provided a high-level overview of SAP Joint Venture Accounting and explained the application’s integration capabilities with various types of accounting in JVA. This article will explain the master data requirement, configurations, process, month-end closing, and reporting in SAP Joint Venture Accounting.

After reading this article you will be able to:
- Set up master data to carry out transactions in SAP Joint Venture Accounting;
- Perform configurations in SAP Joint Venture Accounting;
- List the different processes in SAP Joint Venture Accounting; and
- Explain the different month-end activities that can be performed using SAP Joint Venture Accounting.