Podcast
Questions and Answers
Which organizational level is responsible for granting and monitoring credit limits to customers?
Which organizational level is responsible for granting and monitoring credit limits to customers?
- Company Code
- Credit Control Area (correct)
- Business Area
- Chart of Accounts
Which of the following represents an independent legal accounting unit in SAP?
Which of the following represents an independent legal accounting unit in SAP?
- Chart of Accounts
- Company Code (correct)
- Business Area
- Controlling Area
What describes the critical relationship between materials management and financial accounting in SAP S/4HANA?
What describes the critical relationship between materials management and financial accounting in SAP S/4HANA?
- Data transfer primarily for auditing purpose
- Limited interaction except for legal compliance
- Independent modules with minimal data sharing
- Substantive and important integration (correct)
In the context of SAP, how is a Credit Control Area best described?
In the context of SAP, how is a Credit Control Area best described?
What can a Company Code contain?
What can a Company Code contain?
In SAP, billings in sales and distribution directly generate which of the following?
In SAP, billings in sales and distribution directly generate which of the following?
What is the relationship between a Client and a Company Code in SAP?
What is the relationship between a Client and a Company Code in SAP?
What describes role of a Company Code within the SAP system?
What describes role of a Company Code within the SAP system?
What defines Chart of Accounts?
What defines Chart of Accounts?
How does real-time data processing in SAP HANA impact financial reporting?
How does real-time data processing in SAP HANA impact financial reporting?
Flashcards
Company Code
Company Code
An organizational entity granting/monitoring credit limits for customers.
Credit control
Credit control
A classification scheme for general ledger accounts.
Chart of Account
Chart of Account
Organizational unit representing operations, responsible for value changes recorded in Financial Accounting.
Expenses
Expenses
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Statement of Cash Flows
Statement of Cash Flows
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Assets
Assets
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CO Organizational structure
CO Organizational structure
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Profit Center
Profit Center
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Operating Concern
Operating Concern
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Financial document
Financial document
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Study Notes
- A company code is an organizational entity granting and monitoring credit limits for customers.
- A company code does not represent an independent legal accounting unit.
- Integration between materials management and financial accounting is substantive and important.
- Credit control is a classification scheme consisting of a group of general ledger accounts.
- More than one company code can be included.
- Billings in sales and distribution generate financial journal entries for sales activity.
- A client does not represent an independent legal accounting unit.
- A company code is not an independent environment in the system.
- A chart of accounts is an organizational unit that represents a separate area of operations or responsibilities within an organization where financial accounting value changes can be allocated.
- A credit control area is an organizational entity granting and monitoring credit limits for customers.
- The general ledger in S/4HANA is not based in the general journal.
- An auditor can begin with an account balance on a financial statement and trace through the accounting records to the transactions that support the account balance using audit trails.
- SAP S/4 HANA financials consist of FI (Financial Accounting) and CO (Controlling), and CO-PA (Contribution Margin Analysis).
- The SAP FI module is fully integrated with other SAP modules except quality management.
- A revenue element is a one-to-one linkage (mapping) between general ledger revenue accounts and CO revenue elements to permit the transfer of FI revenue information to CO.
- Enterprises are commonly divided into profit centers.
- Assessment is a method of distributing both primary and secondary cost elements.
- Distribution is a method for periodically allocating primary cost elements.
- The use of the material ledger is now mandatory and manually active in all SAP S/4HANA systems.
- Assessment of sender and receiver cost centers are fully documented in a unique controlling (CO) document.
- The ACDOCA table contains several fields needed for G/L, CO, AA, ML, PA, providing one multiple sources of truth for all these modules.
- General ledger in S/4HANA is not based in the universal journal.
- Posting a secondary cost element is not from Financial Accounting to the cost center primary cost element of managerial accounting.
- Secondary cost elements do not arise through the consumption of production factors that are sourced externally.
- General ledger in S/4HANA is not based in the standard journal.
- Business area is not an organizational entity granting and monitoring a credit limit for customers.
- A company code is not a classification scheme consisting of a group of general ledger accounts.
- General ledger master data is utilized in the preparation of financial accounting statements.
- A business area provides a framework for recording values to ensure an orderly rendering of accounting data.
- Information on customers, who purchase goods and services, such as sales and payments, is found in accounts receivable sub-ledger.
- This account contains a listing of the transaction effecting each account I the chart of accounts and the respective account balance in the general ledger master data.
- It represents an independent legal accounting unit in the company code.
- Credit control area is not an organizational unit that represents a separate area of operations or responsibilities within an organization and to which value changes recorded in Financial Accounting can be allocated.
- Using the real-time SAP HANA database does not mean that reporting from many different finance areas is unified into a multi-repository.
- Once written to the SAP database, a financial document (one impacting the financial position of the company) can be deleted from the database.
- All aggregate and index tables are not updated and calculated in the fly.
- Expenses represent the difference between assets and liability.
- It considers the associated changes, both inflows and outflows, that have occurred in cash, arguably the most important of all assets, over a given period of time (e.g. monthly, quarterly, or annually) in the Statement of Cash Flows.
- The general ledger does not contain all cost elements, including primary cost elements, which are also in SAP S/4HANA G/L accounts.
- Each business transaction impacting Fl writes data to the SAP database creating a uniquely numbered electronic document.
- General ledger in S/4HANA is not based in the universal journal.
- Postings in Fl that impact cost accounts lead to a posting in CO to a cost element and not revenue element.
- The CO organizational structure represents the financial and/or organizational views of an enterprise.
- Posting in FI that impact revenue accounts lead to a posting in CO to a revenue element.
- A one-to-one linkage (mapping) between General Ledger expense accounts and CO cost elements is established to permit the transfer of Fl expense information to CO revenue element.
- It is evaluated on profit or return on investment in the profit center.
- The profit center is responsible for revenue generation and cost containment.
- It is responsible for revenue generation and cost containment in the profit center.
- The profit center is not responsible for expense generation and cost containment.
- It represents a part of an organization for which the sales market is structured in a uniform manner operating concern.
- Flexible, multi-dimensional real-time analyses cannot be executed directly from the Standard Journal with simplification of the data into the BI.
- No separate cost element master data maintenance anymore in one of the innovations in S/4 HANA.
- Primary cost elements arise through the consumption of production factors that are provided internally.
- Expenses and revenue accounts in Financial Accounting do not correspond to secondary cost and revenue elements.
- CO internal postings are now visible in the General Ledger as well in S/4 HANA.
- Many reconciliation works were not necessary because the components for P & L representations were structured differently and stored in different tables.
- Cost elements arise through the consumption of production factors that are sourced externally.
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