Exam (elaborations)

SAP FI/CO: Questions and Answers

0 purchase

Course
SAP FI/CO

Institution
SAP FI/CO

Financial Accounting (FI) General 75. Explain ‘Financial Accounting (FI)’ in SAP. The ‘FI (Financial Accounting)’ module of SAP is the back-bone, which records, collects, and processes financial transactions or information on a real-time basis to provide the necessary inputs for e...

[Show more]

Preview 4 out of 125 pages

View example

Uploaded on August 3, 2024
Number of pages 125
Written in 2024/2025
Type Exam (elaborations)
Contains Questions & answers

sap fico questions and answers
75 explain financial accounting fi in sap
76 what are the submodules within fi

Institution SAP FI/CO
Course SAP FI/CO

TIFFACADEMICS Member since 2 year 605 documents sold

$22.99

Add to cart

Add to wishlist

100% satisfaction guarantee
Immediately available after payment
Both online and in PDF
No strings attached

SAP FI/CO: Questions and Answers
by V. Narayanan
Infinity Science Press LLC.. (c) 2008. Copying Prohibited.

Reprinted for Aurotosh Chakravarty, Capgemini US LLC

Reprinted with permission as a subscription benefit of Books24x7,
http://www.books24x7.com/

All rights reserved. Reproduction and/or distribution in whole or in part in
electronic,paper or other forms without written permission is prohibited.

, i

Table of Contents
Financial Accounting (FI).................................................................................................................1
General..................................................................................................................................1
75. Explain ‘Financial Accounting (FI)’ in SAP.................................................................1
76. What are the ‘Submodules’ within FI?........................................................................1
77. Name the Submodules Within FI, from Which FI-GL Gets Simultaneous
Postings......................................................................................................................2
78. Name Three Distinct Characteristics of FI-GL...........................................................2
75. Explain ‘Financial Accounting (FI)’ in SAP.......................................................................2
76. What are the ‘Submodules’ within FI?.............................................................................2
77. Name the Submodules Within FI, from Which FI-GL Gets Simultaneous Postings.........3
78. Name Three Distinct Characteristics of FI-GL.................................................................3
Global and Enterprise Settings..............................................................................................4
79. What do You mean by ‘Organizational Units’ in SAP?...............................................4
80. What are the Important ‘Organizational Units’ in FI?.................................................4
81. What is a ‘Company’?................................................................................................5
82. What is a ‘Company Code,’ and how is this different from a ‘Company’?..................5
83. What are the Important ‘Global Settings’ for a Company Code?...............................7
84. Can You Assign more than One ‘Company Code’ to a ‘Company’?..........................7
85. What is a ‘Business Area’?........................................................................................7
86. Can You Attach a ‘Business Area’ to a Transaction?................................................8
87. How do You Post Cross-company Code Business Area postings?...........................9
88. What is the ‘Credit Control Area’ in SAP?..................................................................9
89. What is a ‘Chart of Accounts’?...................................................................................9
90. What are all the Major Components of a ‘Chart of Accounts’?..................................9
91. What is an ‘Operating Chart of Accounts’?..............................................................10
92. How does ‘Group Chart of Accounts’ Differ from ‘Operating Chart of Accounts’?...10
93. What is a ‘Country Chart of Accounts’? Why do You need This?............................10
94. Can one ‘Chart of Accounts’ be Assigned to Several Company Codes?.................10
95. What is a ‘Fiscal Year’ and ‘Fiscal Year Variant’?....................................................10
96. How do You Assign a ‘Fiscal Year Variant’ to a Company Code?...........................11
97. What is a ‘Posting Period’?......................................................................................12
98. How does the System Identify a ‘Posting Period’?...................................................12
99. What Happens when You Post to Year 2006 when You are in 2007?.....................12
100. What do You Mean by ‘Opening/Closing’ Posting Periods?..................................12
101. What is a ‘Posting Period Variant’?........................................................................13
102. Can You Selectively ‘Open’ and ‘Close’ accounts?...............................................13
103. Why is it not Possible to Post to a Customer A/C in a Previously Closed
‘Period’?....................................................................................................................13
104. Can You Open a ‘Posting Period’ only for a Particular User?................................13
105. What is a ‘Special Period’? When do You Use it?.................................................13
106. What is the Maximum Number of ‘Posting Periods’ in SAP?.................................14
107. What is a ‘Special Purpose Ledger’?.....................................................................14
108. What Variations are Possible when Defining a ‘Fiscal Year’?................................14
109. What is known as ‘Year Shift/Displacement’ in a Fiscal Year?..............................14
110. Can You have ‘non-Calendar’ Months as ‘Periods’ in a ‘non-Calendar’ Fiscal
Year?.........................................................................................................................15
111. What is a ‘Year-dependent’ Fiscal Year?...............................................................16
112. What Precautions should you Take while Defining a ‘Shortened Fiscal Year’?.....16
113. Tell me more about a ‘Shortened Fiscal Year.’......................................................16
114. How do You Open a new ‘Fiscal Year’ in the System?..........................................16
115. How do you ‘Carry-Forward’ Account Balances?...................................................16
116. Can You Explain how ‘Carry-Forward’ Happens in SAP?......................................16
117. Is there a Prerequisite for ‘Carry-Forward’ Activity?...............................................16
118. How many ‘Retained Earnings’ A/C can be Defined?............................................16
119. Can You have Multiple ‘Retained Earnings’ A/C?..................................................17
120. How do You Maintain ‘Currency’ in SAP?..............................................................17
121. What is a ‘Local Currency’?...................................................................................17
122. What is a ‘Parallel Currency’?................................................................................17
123. What is a ‘Group Currency’?..................................................................................17
124. What is the ‘Global Company Code Currency’?.....................................................17
125. What is an ‘Account Currency’?.............................................................................17

, ii

Table of Contents
Financial Accounting (FI)
126. What are all the Prerequisites for Posting in a ‘Foreign Currency’?.......................18
127. How are ‘Exchange Rates’ Maintained in SAP?....................................................18
128. What is an ‘Exchange Rate Type’? List some of them...........................................18
129. What is known as the ‘Translation Factor’?...........................................................18
130. Is there an Easy Way to Maintain Exchange Rates in SAP?.................................18
131. What is known as an ‘Exchange Rate Spread’?....................................................19
132. Explain the use of ‘Direct’ or ‘Indirect Quotations.’.................................................19
133. Explain how ‘Taxes’ are Handled in SAP...............................................................19
134. How is Tax Calculated in SAP?.............................................................................20
135. Explain the Configurations Required for Taxes in SAP..........................................23
136. What is a (Tax) ‘Jurisdiction Code’?.......................................................................24
137. Tell me about the ‘Tax Reports’ in SAP.................................................................24
138. How is ‘Master Data’ different from ‘Transaction Data’?........................................25
139. Can You Post an A/C Document if the ‘Credit’ is not Equal to the ‘Debit’?............25
General Ledger Accounting.................................................................................................26
140. What is a ‘Document’ in SAP?...............................................................................26
141. What is a ‘Document Header’?..............................................................................26
142. What is a ‘Document Type’?..................................................................................27
143. How is ‘Account Type’ Connected to ‘Document Type’?.......................................27
144. What do You mean by ‘Net’ Postings’?..................................................................28
145. Explain the Various ‘Reference Methods.’.............................................................28
146. What is the ‘Document Change Rule’?..................................................................29
147. Differentiate between ‘Account Assignment Model,’ ‘Recurring Entries,’ and
‘Sample Document,’..................................................................................................29
148. What is a ‘Line Item’?.............................................................................................30
149. What is a ‘Posting Key’?........................................................................................31
150. Differentiate between the ‘Parking’ and the ‘Holding’ of Documents.....................31
151. What is an ‘Automatic Posting’?.............................................................................32
152. What is ‘Clearing’?.................................................................................................32
153. Explain ‘Reversal of Documents’ in SAP...............................................................32
154. Explain ‘True Reversal,’ How is it different from regular ‘Reversal’?.....................33
155. What is ‘Fast Entry’?..............................................................................................33
156. How do You Create ‘GL Account Master Data’?....................................................33
157. What is ‘Collective Processing’ of GL Accounts?...................................................34
158. What is ‘Individual Processing’ of GL Accounts?...................................................34
159. Is it Possible to Change an Existing B/S GL A/C to the P&L Type?......................35
160. Why doesn’t the System allow You to Change the ‘Tax Category’ in a GL A/C
Master?.....................................................................................................................36
161. What is an ‘Account Group’?..................................................................................36
162. Describe ‘Number Range Interval.’........................................................................37
163. What is a ‘Screen Layout’?....................................................................................39
164. What is a ‘Field Status Group’?..............................................................................40
165. What do You mean by ‘Balances in Local Currency’ Only?...................................41
166. What is ‘Line Item Display’?...................................................................................41
167. What is ‘Archiving’? How does it differ from ‘Deletion’?.........................................41
168. Tell me the Two uses of ‘Blocking’ an Account.....................................................42
169. How do You Configure the GL A/C for the ‘House Bank’?.....................................42
170. What is an ‘Intermediate Bank’?............................................................................42
171. Explain ‘Intercompany Postings.’...........................................................................42
172. How can You Manually ‘Clear’ ‘Open Items’? When?............................................43
173. How do You Perform ‘Period Closing’ in SAP?......................................................43
174. What is ‘Pre-closing’?.............................................................................................44
175. Explain ‘Financial Closing.’....................................................................................44
176. What is a ‘Financial Statement Version’?...............................................................45
177. What Items are Required in a ‘Financial Statement Version’?...............................46
178. How do You Ensure ‘Correct’ Balances in the ‘Financial Statement Version’?......47
179. How do You Perform ‘Annual Closing’ in SAP?.....................................................47
180. Explain ‘Managerial Closing.’.................................................................................47
181. What is the ‘New FI-GL’ in FI in ECC?...................................................................48
Accounts Receivable...........................................................................................................49

, iii

Table of Contents
Financial Accounting (FI)
182. Explain ‘Customer/Vendor Master Records.’.........................................................49
183. Who is an ‘Alternate Payee’?.................................................................................54
184. What is the ‘Trading Partner’ concept?..................................................................55
185. Explain ‘Tolerance’ in Transaction Processing......................................................55
186. What is ‘Dual Control’ in Master Records?............................................................57
187. What is a ‘Bank Director’ in SAP?..........................................................................58
188. What is a ‘House Bank’?........................................................................................58
189. Explain a ‘Sales Cycle’ in SAP...............................................................................59
190. Explain ‘Automatic Account Assignment’ in SD....................................................61
191. Explain ‘Revenue Account Determination’ in SD...................................................62
192. Outline ‘Credit Management’ in SAP......................................................................63
193. What is a ‘Credit Check?........................................................................................65
194. Differentiate ‘Static Credit Check’ from ‘Dynamic Check.’.....................................65
195. List the Reports in ‘Credit Management.’...............................................................66
196. How does ‘Partial Payment’ differ from ‘Residual Payment’?................................66
197. What is ‘Payment Advice’?.....................................................................................67
198. Describe ‘Lockbox’ Processing..............................................................................67
199. How can ‘Reason Codes’ Help with Incoming Payment Processing?...................67
200. What is ‘Dunning’ in SAP?.....................................................................................67
201. What is a ‘Dunning Procedure’?.............................................................................68
202. What is the ‘Dunning Area’?...................................................................................70
203. Describe the ‘Dunning’ Process.............................................................................70
204. Can you ‘dun’ customers across ‘Clients’ in a Single ‘Dunning Run’?...................72
205. What differentiates one ‘Dunning Level’ from Another?.........................................72
206. How many ‘Dunning Levels’ can be Defined?........................................................73
Accounts Payables..............................................................................................................73
207. Explain the ‘Account Payables’ Submodule...........................................................73
208. What Documents Result from ‘Procurement Processes’?.....................................73
209. Describe a ‘Purchase Cycle.’.................................................................................73
210. What is a ‘Purchase Requisition’ (PR)?.................................................................74
211. What is a ‘Request for Quotation’ (RFQ)?.............................................................74
212. What is an ‘Outline Agreement’?............................................................................74
213. What is a ‘Contract’?..............................................................................................74
214. What is a ‘Release Order’?....................................................................................75
215. What is a ‘Scheduling Agreement’?.......................................................................75
216. What is a ‘Quotation?.............................................................................................75
217. What is a ‘Purchase Order’ (PO)?..........................................................................75
218. What is a ‘PO History’?..........................................................................................75
219. Will the FI Document be Created with the Purchase Order (PO)?.........................75
220. Explain FI-MM Integration......................................................................................75
221. What Happens, in SAP, when You Post a ‘Goods Receipt’?.................................77
222. Explain ‘Invoice Verification’ (IV) in SAP................................................................78
223. How do You Deal with ‘Tax’ when You Post an Invoice?.......................................78
224. What ‘Variances’ do You come Across in Invoice Verification?.............................79
225. Outline ‘Vendor Payments’ in the SAP System......................................................79
226. Explain ‘Automatic Payment Program.’..................................................................79
227. Explain ‘Automatic Payment Program’ Configuration............................................80
228. How do You Execute an ‘Automatic Payment Program’?......................................84
229. Can You Pay a Vendor in a Currency Other than the Invoice Currency?..............86
230. What is a ‘Payment Block’?....................................................................................86
231. How do You Release ‘Blocked Invoices for Payments’?........................................86
232. What is the ‘Account Assignment Category’?........................................................86
233. What is a ‘Credit Memo’?.......................................................................................87
234. What are ‘Special GL Transactions’?.....................................................................87
235. Differentiate ‘Free Offsetting Entry’ from a ‘Statistical Posting.’.............................88
236. What is a ‘Noted Item’............................................................................................88
Asset Accounting.................................................................................................................89
237. Explain ‘Asset Accounting’ (FI-AA)........................................................................89
238. What is a ‘Lean Implementation’ in FI-AA?............................................................90
239. What are the kinds of ‘Assets’ in SAP?..................................................................91

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller TIFFACADEMICS. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $22.99. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

69411 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 15 years now

Start selling

Exam (elaborations)

SAP FI/CO: Questions and Answers

Document information

Subjects

Written for

Seller

Reviews received

Content preview