Advanced SAP FICO Interview Questions and Answers- webbopedia

Here we have mentioned most frequently asked SAP FICO Interview Questions and Answers specially for freshers and experienced.

1. Explain the term SAP FICO?

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SAP FICO stands for FI ( Financial Accounting) and CO (controlling). In SAP FICO, SAP FI take cares about accounting, preparation of financial statements, tax computations etc, while SAP CO take cares of inter orders, cost sheet, inventory sheet, cost allocations etc. It is the software that stores data, and also computes them and retrieves the result based on the current marketing scenario. SAP FICO prevents data lost and also does the verification and reporting of data.

2. What are the other modules to which ‘Financial Accounting’ is integrated?

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The other modules to which ‘Financial Accounting’ is integrated are
a) Sales and Distribution
b) Material Management
c) Human Resource
d) Production Planning
e) Controlling of financial transaction

3. In SAP FI what are the organizational elements?

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The organizational elements in SAP FI are:
a) Company Code
b) Business Area
c) Chart of Account
d) Functional Area

4. Explain what is posting key and what does it control?

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In order to determine the transaction type which is entered in the line item, a two digit numerical is used known as ‘Posting Key’
Posting key determines
a) Account Types
b) Types of posting. Debit or Credit
c) Field status of transaction

5. What is the company code in SAP?

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To generate financial statements like Profit and Loss statement, Balance sheets etc. company code is used.

6. How many Chart of Accounts can company code have?

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You can have one Chart of Account for one company code which is assigned.

7. For a Company Code how many currencies can be configured?

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There are three currencies that can be configured for a Company code, one is a local currency and two are the parallel currencies.

8. What are the options in SAP for Fiscal years?

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Fiscal year in SAP is the way financial data is stored in the system. In SAP, you have 12 periods and four special periods. These periods are stored in fiscal year variant that is:
a) Calendar Year: From Jan-Dec, April-March
b) Year dependent fiscal year

9. What is a ‘year shift’ in SAP calendar?

Ans:

SAP system does not know what is broken fiscal year e.g April 2012 to March 2013 and only understand the calendar year. If, for any business, the fiscal year is not a calendar year but the combination of the different months of two different calendar year and then one of the calendar year has to classified as a fiscal year for SAP and the month falling in another year has to be adjusted into the fiscal year by shifting the year by using the sign -1 or +1. This shift in the year is known as ‘year shift’.
Example: April 2012 to Dec 2012 is our first calendar year, and Jan 2013 to March 2013 is our second year, now if you are taking April-12 to Dec-12 as your fiscal year, then Jan-13 to March-13 automatically becomes the second year, and you have to adjust this year by using -1 shift, and vice versa if the scenario is reversed, here you will use +1 shift.

10. What is year dependent fiscal year variant?

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In a year dependent fiscal year variant, the number of days in a month is not as per the calendar month. For example, in year 2005, month January end on 29th, month Feb ends on 26th etc.

11. In SAP how input and output taxes are taken care?

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For each country tax procedure is defined, and tax codes are defined within this. There is a flexibility to either expense out the Tax amounts or capitalise the same to stocks.

12. Explain what is validations and substitutions in SAP?

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For each functional area in SAP Validation or Substitution is defined eg, Assets, Controlling etc. at the following levels

a) Document Level
b) Line item Level

13. What are the application areas that use validation and substitutions?

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a) FI- Financial accounting
b) CO-Cost accounting
c) AM-Asset accounting
d) GL-Special purpose ledger
e) CS-Consolidation
f) PS-Project system
g) RE-Real estate
h) PC-Profit center accounting

14. In SAP what is the use of FSV ( Financial Statement Version) ?

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FSV ( Financial Statement Version) is a reporting tool. It can be used to extract final accounts from SAP like Profit and Loss Account and Balance Sheet. The multiple FSV’s can be used for generating the output of various external agencies like Banks and other statutory authorities.

15. What is a field status group?

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‘Field status groups’ control the fields which come up when the user does the transactions. In FIGL (Financial General Ledger) master, the field status group is stored.

16. What is FI-GL (Financial- General Ledger) Accounting does?

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To get an overview of external Accounting and accounts, G L (General Ledger) Accounting is used. It does the recording of all business transactions incorporated with all other operational areas in a software system and also ensures that the Accounting data is always complete and accurate.

17. What is the default exchange rate type which is picked up for all SAP transactions?

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For all SAP transaction, the default exchange rate is M (Average Rate).

18. What are the methods by which vendor invoice payments can be made?

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a) Manual payment without the use of any output medium like cheques etc.
b) Automatic payments like DME (Data Medium Exchange), cheques, Wire transfer

19. What are the problems when business area is configured?

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The problem faced when a business area is configured, is splitting of account balance which is more pertinent in the case of tax accounts.

20. For document clearing what are the customizing prerequisites ?

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The customizing pre-requisite for document clearing is to check the items cleared and uncleared, and this is done by open item management. Open item management manages your outstanding account, i.e account payable and account receivable. For instance, an invoice item that has not yet been paid is recorded as open account until it is paid.

21. What is the importance of GR/IR ( Good Received/ Invoice Received) clearing account?

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GR/IR ( Good Received/ Invoice Received) is an interim account. In the legacy system, if the goods are received and the invoice is not received, the provision is made, in SAP at the goods receipt. It passes the Accounting entry debiting the Inventory and crediting the GR/IR account. Similarly, when an invoice is received the vendor account is credited, and the GR/IR account is debited, the GR/IR will show as an un-cleared items till the time the invoice is not received.

22. What is parallel and local currency in SAP?

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Each company code can have two additional currencies, in addition to the company code, currency entered to the company code data. The currency entered in the company code creation is called local currency and the other two additional currencies are called parallel currencies. Parallel Currencies can be used in foreign business transactions. In order to do international transaction, parallel currency can be used. The two parallel currencies would be GROUP CURRENCY and HARD CURRENCY.

23. Where can you use the internal order?

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To track the cost, internal orders are used; they are proposed to be incurred over on a short term basis.

24. Is it possible to calculate depreciation to the day?

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Yes, it is possible to calculate depreciation, to do that you have to switch on the indicator Dep. to the day in the depreciation key configuration.

25. In Asset Accounting what is the organizational assignments?

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In Asset Accounting, chart of depreciation is rated as the highest node, and this is assigned to the company node. All the depreciation calculations are stored under the chart of depreciation.

26. What is the importance of asset classes? What asset classes are there?

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The asset class is the main class to classify assets. Every asset must be assigned to only one asset class. Example of asset class is Furniture & Fixtures, Plant & Machinery, and Computers etc. The asset class also contains G1 account, when any asset is procured, G1 account is debited. Whenever you create and asset master, it becomes mandatory to mention the assest class for which you are creating the required assets. So, whenever any asset transaction occurs, the G1 account attached to the asset class is automatically picked up and the entry is passed. You can also specify the default values for calculating the depreciation values and other master data in each asset class.

27. How capital WIP (Work In Process) and Assets accounted for in SAP?

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‘Capital WIP’ is referred to as Assets under construction in SAP and is represented under specific asset class. Depreciation is not charged under ‘Capital WIP’ usually. The cost incurred on building a capital asset can be booked to an ‘internal order’ and through the settlement procedures, and can be posted onto an ‘Asset Under Construction’.

28. What are the major components of Chart of Accounts?

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The major components of Chart of Accounts are:
a) Chart of account key
b) Name
c) Maintain Language
d) Length GL account number
e) Controlling Integration
f) Consolidation-Group chart of accounts
g) Block indicator

29. What is credit control area in SAP?

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To immune your company from the risk of bad debts and multiple outstanding receivable, you can set a credit limit for your customer by using credit control area in SAP. With the help of SAP, you can block the deliveries to your customer based on the credit limit and the accounts receivable balance in their account which is maintained by you.

30. How can you create Credit Control Area in SAP?

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By using transaction code OB45 or path you can create Credit Control Area in SAP
SPRO> enterprise structure >maintain structure>definition>financial accounting>maintain credit control area and then enter the following description
a) Update
b) Name of the credit control area in SAP
c) Currency
d) Description
e) Credit Limit
f) Risk Category
g) Fiscal Variant
h) Rep group

31. What is posting period variants?

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In fiscal year posting period is a period for which the transactions figures are updated. The posting period variants in SAP is accountable to control which Accounting period is open for posting and ensures that the closed periods remain balanced.

32. Explain in simple terms what is field status and what does it control?

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Field status group is a group configured in FSV (Field Status Variant) to maintain field status for G/L (General Ledger) accounts. It controls which field should suppress, display, optional and required.

33. What is short-end fiscal year?

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A short-end fiscal year results when you change from a normal fiscal year to a non-calendar fiscal year, or other way around. This type of change happens when an enterprise becomes part of a new co-corporate group.

34. What is an account group and where it is used?

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To control the data that needs to be entered at the time of the creation of a master record an account group is used. Account group exist for the definition of GL account, Customer Master and Vendor.

35. What is the purpose of “Document type” in SAP?

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The purpose of ” Document type” in SAP is
a) Number range for documents are defined by it
b) Types of accounts that can be posted are controlled by it, e.g Assets, Vendor, Customer, Normal GL account
c) It is used for the reversal of entries

36. Is business area at company code level?

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No. Business area is at client level which means other company codes can also be posted to the same business area.

37. In SAP, Customer and Vendor code are stored at what level?

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The Vendor and Customer codes are stored at the client level. It means that by extending the company code view any company code can use the customer and vendor code.

38. How are tolerances for invoice verification defined?

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Tolerance determines whether the payable places matching or tax hold on the invoice. The following are the instances of tolerance can be defined for Logistic Invoice Verification.
a) Small differences
b) Moving average price variances
c) Quantity variances
d) Price variances

39. What is a country Chart of Accounts?

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Country Chart of Accounts contains G/L (General Ledger) accounts needed to meet the country’s legal requirements.

40. What is APP in SAP Fico?

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APP stands for ‘Automatic Payment Program’; it is a tool provided by SAP to companies to pay its vendors and customers. APP tools help to avoid any mistakes taken place in posting manually. Also, when number of employees is more in the company, payment through APP becomes more feasible.

41. In SAP FICO what are the terms of payment and where are they stored?

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Payment terms are created in the configuration and determine the payment due date for vendor/customer invoice.
They are stored on the customer or vendor master record and are pulled through onto the customer/vendor invoice postings. The due date can be changed on each individual invoice if required.

42. What are one-time vendors?

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In certain companies, especially the one dealing with high cash transactions, it is not practical to create new master records for every vendor trading partner. One time vendors allows a dummy vendor code to be used on invoice entry and also the information which is usually stored in the vendor master.

43. What are the standard stages of the SAP payment run?

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The following steps are the standard stages of the SAP payment run
a) Entering of parameters ( Vendor Accounts, Company Codes, Payment Methods)
b) Proposal Scheduling – the system proposes the list of invoice paid
c) Payment booking- the booking of the actual payments in the ledger
d) Printing of payment forms ,example cheques

44. In Accounts Receivable, what is the difference between the ‘Residual Payment’ and ‘Part Payment’ methods of allocating cash?

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‘Residual payment’ and ‘Part payment’ are the two methods for allocating partial methods from customers. For example, an invoice for $100 is generated, customer has paid $70. Now this $70 will be off-set and leaving the remaining balance $30. With residual payment, the invoice is cleared for the full value of $100 and a new invoice is generated for the remaining balances $30.

45. What is “dunning” in SAP?

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‘Dunning’ is the process by which payment chasing letters are issued to customers. SAP can determine which customers should receive the letters and for which overdue items. Different letters can be printed in SAP depending on the overdue payment date, with a simple reminder. With the help of dunning level on the customer master, we can know which letter has been issued to the customer.

46. What is the purpose of the account type field in the GL (General Ledger) master record?

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At the end of the year, profit and loss accounts are cleared down to the retained earnings balance sheets account. The field contains an indicator which is linked to a specific GL (General Ledger) accounts to use in this clear down.

47. Explain what is recurring entries and why are they used?

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Recurring entries can eliminate the need for the manual posting of Accounting documents which do not change from month to month. For example, an expense document can be generated which can be scheduled for the last days of each month or whenever an individual wants it. Usually multiple recurring entries are created at one go and then processed all together as a batch month end using transaction.

48. What is a ‘Value Field’ in the CO-PA module?

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Value fields are number or value related fields in profitability analysis such as quantity, sales revenue, discount value etc.

49. What are the statistical internal orders?

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Statistical internal orders are dummy cost objects used for reporting and analysis purposes. It must be posted to in conjunction with a real object such as a cost center.

50. For what purposes internal orders can be used?

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You can use internal orders for
a) Overhead Orders: It monitors internal jobs settled to cost centres
b) Investment Orders: It monitors internal jobs settled to fixed assets
c) Accrual Orders: Offsetting posting of accrued costs calculated in CO
d) Orders with Revenue: It display the cost controlling parts of Sales and Distribution, it does not affect the core business of the company

51. Explain the term SAP FICO?

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52. In SAP FI what are the organizational elements?

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The organizational elements in SAP FI are:
a) Company Code
b) Business Area
c) Chart of Account
d) Functional Area

53. What is the company code in SAP?

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To generate financial statements like Profit and Loss statement, Balance sheets etc. company code is used.

54. In SAP how input and output taxes are taken care?

Ans:

For each country tax procedure is defined, and tax codes are defined within this. There is a flexibility to either expense out the Tax amounts or capitalise the same to stocks.

55. What are the application areas that use validation and substitutions?

Ans:

a) FI- Financial accounting

b) CO-Cost accounting

c) AM-Asset accounting

d) GL-Special purpose ledger

e) CS-Consolidation

f) PS-Project system

g) RE-Real estate

h) PC-Profit center accounting

56. What are the other modules to which ‘Financial Accounting’ is integrated?

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57. What are the options in SAP for Fiscal years?

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58. What is credit control area in SAP?

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59. In SAP what is the use of FSV ( Financial Statement Version) ?

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60. How can you create Credit Control Area in SAP?

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61. What is the purpose of “Document type” in SAP?

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62. How are tolerances for invoice verification defined?

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63. What is APP in SAP Fico?

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64. What are the methods by which vendor invoice payments can be made?

Ans:

a) Manual payment without the use of any output medium like cheques etc.
b) Automatic payments like DME (Data Medium Exchange), cheques, Wire transfer

65. What is the default exchange rate type which is picked up for all SAP transactions?

Ans:

For all SAP transaction, the default exchange rate is M (Average Rate).

66. For a Company Code how many currencies can be configured?

Ans:

There are three currencies that can be configured for a Company code, one is a local currency and two are the parallel currencies.

67. What is a field status group?

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‘Field status groups’ control the fields which come up when the user does the transactions. In FIGL (Financial General Ledger) master, the field status group is stored.

68. What is FI-GL (Financial- General Ledger) Accounting does?

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69. In Asset Accounting what is the organizational assignments?

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In Asset Accounting, chart of depreciation is rated as the highest node, and this is assigned to the company node. All the depreciation calculations are stored under the chart of depreciation.

70. How capital WIP (Work In Process) and Assets accounted for in SAP?

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71. What are one-time vendors?

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72. What are the standard stages of the SAP payment run?

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73. In Accounts Receivable, what is the difference between the ‘Residual Payment’ and ‘Part Payment’ methods of allocating cash?

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74. What Is The Difference Between Company And Company Code?

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A company is the organizational unit used in the legal consolidation module to roll up financial statements of several company codes.The Company Code is the smallest organizational unit for which a complete self-contained set of accounts can be drawn up for purposes of external reporting.

75. How Many Chart Of Accounts Can Be Attached To A Company Code?

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One or more Operative Chart of Accounts can be assigned to a company code.
A COA must be aasigned to a company code. This COA is the operative COA and is used in both FI and CO. One Chart of Account can be assigned to many Company codes i.e., Multiple company codes can either share the same or have separate COA. But a company code (Country specific Company code or International Company code) can have a country specific COA also along with Operative COA. The link between the regular COA and the country COA appears in the alternate number field of the G/L master record.
Eg: If a company’s subdidiaries are located in both US & Mexico. We need to configure 2 Company codes – one for US and another for Mexico,for eg U100 and M100. The same way we create 2 COA’s one for US & one for Mexico, USCA and MXCA. Mexico has different govt reporting requirements than the US so we will need to define a company code specific to Country Mexico and also create a country specific COA to be used, in addition to normal COA. In tcode OBY6(Comp Code Global Parameters) of CC M100 we define normal COA i.e.,USCA in Chart of Accounts field and MXCA in Country Chart/Accts field.

76. What Is A Controlling Area?

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The Controlling Area is the central organizational unit within CO module. It is representative of a contained Cost Accounting envt where costs and revenues can be managed.

77. Define Relationship Between Controlling Area And Company Code?

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A controlling area may include one or more company codes which must use the same operative chart of accounts as the controlling area. A Controlling Area can contain multiple company code assignments but a single company code can be assigned to only one controlling area.

78. What Is A Fiscal Year Variant?

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Fiscal Year is a period of 12 months and SAP provides 4 special periods to posting adjustment Entries. Fiscal year determines posting periods. Posting periods are used to assign business transactions. Fiscal year may be year dependent or year independent.

79. What Are Special Periods Used For?

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The Special periods in a fiscal year variant can be used for things like posting audit or tax adjustments to a closed fiscal year.

80. What Do You Mean By Year Dependent In Fiscal Year Variants?

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Year Dependent: the financial year is same as calendar year. Starting from 1st Jan to 31st Dec (where posting periods and the calendar months are equal).
Year Independent: the financial year is different from calendar year Starting from 1st April to 31st March (where the posting period months are not equal to calendar year months).

81. What Are Shortened Fiscal Year? When Are They Used?

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Shortened Fiscal Year: a financial year, which has less than 12 periods.

82. What Are Posting Periods?

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The Posting period variant controls which posting periods, both normal and special, are open for each company code. It is possible to have a different posting period variant for each company code in the organization. The posting period is independent of the fiscal year variant.

83. What Are Document Types And What Are They Used For?

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Document type is the identifier of differentt account transactions like SA for G/L,AA for Asset Accounting etc.The doc. Types controls things like type of the account that can be posted to, the number range assigned to it, and required doc header fields.

84. How Are Tolerance Group For Employees Used?

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Tolerance group stores Posting amount defaults. Tolerance groups are assigned to User ID’s that ensures only authorized persons can make postings.

85. What Are Posting Keys? State The Purpose Of Defining Posting Keys?

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Posting keys determine whether a line item entry is a debit or a credit as well as the possible field status for the transaction. Posting keys are SAP delivered. If u want changes like making additional fields optional on payment type posting keys then the best possible action is to copy the posting key that needs to be modified and then modify it.

86. What Are Field Status Groups?

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Field status groups control the additional account assignments and other fields that can be posted at the line item level for a G/L account.

87. What Are Adjustment Postings And Its Use? Give T.codes And Paths If Possible?

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fb50,f-02 and others could be used for adjustments. These adjustments are to correct any financial representation that has already been booked into the accounts.

88. We Always Copy Company Code Or We Can Create Manually Also? If Possible Give Reasons Also.

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There are loads of tables that get copied over when copying co codes. This might be incomplete in a manual copy, and hence the manual route is not advisable.

89. What Are The Common Document Types In Fi?

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Common Document types Key are –

AA – Asset Posting.
AN – Net Asset Posting.
DR – Customer Invoice.
DZ – Customer Payment.
KA – Vendor Document.
KG – Vendor Credit Memo.

90. Explain The Most Common G/l Reports In Fi?

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There are various G/L reports that can be generated in SAP FI. Most common are:
G/L Chart of Accounts List.
G/L Account Balances.
G/L Account List.
G/L Account Totals and Balances.

91. What Is The Use Of Account Receivables In Fi?

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SAP FI Accounts Receivable component records and manages accounting data of all customers. It is also an integral part of sales management.
All postings in Accounts Receivable are also recorded directly in the General Ledger. Different G/L accounts are updated depending on the transaction involved (for example, receivables, down payments, and bills of exchange).

92. How Can You Manage Partial Payment From Customers In Fi?

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In SAP FI, you can also post partial payments from customer. These partial payments are posted as separate open items.
Customer can see clearly what all invoice has been issued to customer and what payments he has made. But it keeps the multiple open items, until the invoice is fully paid/ cleared.
Example : There is a customer with an outstanding amount of 1500 and makes a payment of 500 as partial payment then there will two separate open items of 1500 Debit and 500 Credit in FI system and there will be no clearing document is created.

93. What Is The Use Of Sales Returns In Fi?

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Sales Returns in SAP FI is used to manage full products that the customer has returned due to a complaint. These are used in consumer good industry.
All returns are related to quality defects and not incorrect deliveries. The path that the returned merchandise takes often has to be tracked in detail. Returned item has to be sent for inspection.

94. How Do You Define Credit Control Area In Fi?

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T-code: FD32 is used to define the credit control area in SAP FI.

95. How Do You Manage Credit Limit For The Customer In Fi?

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Credit control in FI is used to check the credit limit for the customer and it can use one or more codes. It is used for credit management in Application components- Account Receivable (AR) and Sales and Distribution.
The credit control area is determined in the following sequence –

User exit
Distribution channel
Customer master
Company code for the sales organization

96. What Are The Different Submodules In Sap Fi?

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General Ledger
AR/AP
Banks
Fixed Assets
Travel Management
Lease Accounting, etc.

97. What Is The Use Of Fi-asset Accounting Component?

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The FI-Asset Accounting (FI-AA) component is used for managing the fixed assets in FI system. In Financial Accounting, it serves as a subsidiary ledger to the General Ledger, providing detailed information on transactions involving fixed assets.
Integration with other components – As a result of the integration in the SAP System, Asset Accounting (FI-AA) transfers data directly to and from other SAP components.

98. How Do You Manage Relationship Between Two Currencies In Sap Fi?

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Exchange Rates are used to define relationship between two currencies and also to maintain exchange rates are used to translate an amount into another currency.

You define exchange rates in the system for the following purposes –
Posting and Clearing : To translate amounts posted or cleared in foreign currency, or to check a manually entered exchange rate during posting or clearing.
Exchange Rate Differences : To determine gains or losses from exchange rate differences.
Foreign Currency Valuation : To valuate open items in foreign currency and foreign currency balance sheet accounts as part of the closing operations.

99. What Is Dunning In Fi? What Are The Requirement Of Using Dunning?

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In SAP FI, If customer misses the payment for the outstanding invoice by payment due date You can generate dunning letter using SAP FI and send it to customer address for reminding the customer outstanding payment.

Requirement – The dunning system enables to trace liable customers who have not paid their open invoices within a given time span. It enables you to handle the process from, for example, sending a reminder to customers of their outstanding payments through to referring such customers to collections agencies.
The dunning system covers below documents –

Open A/R invoices, including invoices that are partially credited or partially paid.
Invoices that include installments.
A/R credit memos.
Incoming payments that are not based on invoices.

100. How Do You Manage Outgoing Partial Payment For Vendor In Fi?

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In SAP FI, you can also post outgoing partial payments for vendor. Partial payment from vendor will be open as open item and no clearing document will be generated.

101. Which Of The Fields You Can Display And Log Changes In Fi?

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When you change a master record, the system logs these changes and generates change documents. For each field, it stores the time of change, the name of the user, and the previous field contents.
You can display all the changes for the following –

A certain field
A master record

For several vendor master records, following changes are displayed separately –

Overwritten field contents.
Any bank details and/or dunning areas entered after the master record was created.
Any bank details and/or dunning areas that have been deleted.
Using the change documents, you can find all the changes that are made and when they were made.

102. What Are The Common Activities Performed In Month End Closing In Sap Fi?

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In SAP FI, month end closing involves activities in posting a closing period. You can carry out the following activities as part of month-end closing –
Open and close posting periods.
You close one or more posting periods in the past for posting, and permit posting to be made to one or more current or future posting periods.

103. At What Level Are The Customer And Vendor Code Stored In Sap?

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The customer and vendor code are at the client level. That means any company code can use the customer and vendor code by extending the company code view.

104. In Customizing “company Code Productive” Means What? What It Denotes?

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Once the company code is live this check box helps prevent deletion of many programmes accidently. This check box is activated just before go live.. Accounts Receivable and Accounts payable.

105. Is Business Area At Company Code Level?

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No. Business area is at client level. Which means other company codes can also post to the same business area.

106. What Are The Customizing Prerequisites For Document Clearing?

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Account must be managed on the open item management. This tick is there in the General Ledger Master Record called open item Management. it helps you to manage your accounts in terms of cleared and uncleared items. A typical example could be GR/lR Account in SAP(Goods Received/invoice Received Account).

107. What Is Account Group And What Does It Control?

Ans:

Account group determines which fields you can configure on the G/L master record.
It is necessary to have at least two one for B/S and another one for P&L a/c .It controls the user ranges of GL A/C.
The status of fields of the master record of GL belongs to company code area

108. How many Chart of Accounts can company code have?

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You can have one Chart of Account for one company code which is assigned.

109. For a Company Code how many currencies can be configured?

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There are three currencies that can be configured for a Company code, one is a local currency and two are the parallel currencies.

110. What are the options in SAP for Fiscal years?

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Fiscal year in SAP is the way financial data is stored in the system. In SAP, you have 12 periods and four special periods. These periods are stored in fiscal year variant that is:
Calendar Year: From Jan-Dec, April-March
Year dependent fiscal year

111. What is a ‘year shift’ in SAP calendar?

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112. In SAP what is the use of FSV ( Financial Statement Version)?

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113. What is a field status group?

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‘Field status groups’ control the fields which come up when the user does the transactions. In FIGL (Financial General Ledger) master, the field status group is stored.

114. What is FI-GL (Financial- General Ledger) Accounting does?

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To get an overview of external accounting and accounts, G L (General Ledger) accounting is used. It does the recording of all business transactions incorporated with all other operational areas in a software system and also ensures that the accounting data is always complete and accurate.

115. What is the default exchange rate type which is picked up for all SAP transactions?

Ans:

For all SAP transaction, the default exchange rate is M (Average Rate).

116. What Are Substitutions And Validations? What Is The Precedent?

Ans:

Validations are used to check settings and return a message if the prerequisite check condition is met. Substitutions are similar to validations; they actually replace and fill in field values behind the scenes without the user’s knowledge unlike validations that create on-screen msgs to the user.

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Dinesh Gopal Chand

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Santosh says:

June 15, 2018 at 1:22 pm

Thanks for sharing all these questions, this will be very useful for me as well as who is preparing for interview

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