1.    Discuss the concept of account groups and how they are used with respect to general ledger master data.

The account group contains a number interval specified by a lower and upper limit that controls the numbering for the G/L account master record.  The user must specify the number to be given to the G/L account at the time it is created.  Account group determines the field status (required, optional, suppressed) when creating the company code segment.

2.    What is the chart of accounts?

The chart of accounts is a list of G/L accounts.  A client may contain many COA’s, but each company code can be tied to only one specific COA.  Every G/L Account master record must be created at the COA level before it can be created for a Company Code.  The COA segment contains information such as the Account Number, Account Name, and Account Group.

3.    What are the segments of a general ledger master record?  Give an example of data that is stored at each level.

• General data (COA level, Client level) – account name, type of account
• Company code level – Field status group

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Contents converted in this presentations

1.    There are three primary types of data in the system.  What are they?  Describe each.

Master Data is constant over a long period of time.  Transaction Data is created by a transaction in the system.  Transactions can be created manually or automatically.  Table Data is the data that is specifically configured for a client’s business.

2.    Identify each of the following as Master Data or transaction data:

• Invoice – (Transaction)
• Vendor – (Master)
• Goods Receipt – (Transaction)
• Material – (Master)
• GL Account – (Master)
• GL Account Posting – (Transaction)

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1. When setting up company code global parameters, what are the general data the configurer will need to define?  What are the global data the configurer will need to define?
   General Data
   • Company Code
   • Company Name
   • City
   • Currency
   • Country Key
   • Language

   Global Data

   • Chart of Accounts
   • Credit Control area
   • Fiscal year variant
   • Field status variant
   • Posting Period Variant
2. Explain the copy function in SAP when creating a new company code.
   The copy function can be used to partially copy a company code by allowing the configure to select specific data desired.
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1. Define the major organizational hierarchy elements within the Financial Accounting module and explain the relationship between each of them.

The hierarchy, from the highest organizational unit to the lowest, is the Client, Chart of Accounts (COA), Company Code and the optional Business Areas (BA). Two other optional areas include the Dunning Area and the Credit Control Area (CCA). Credit Control Areas come above the Company Code, and Dunning Areas come below the Company Code. There is only one Client and its values are the same across all Company Codes that are attached to it. Every Company Code is a legal independent entity. Business Areas can be shared among Company Codes (many-to-many relationship) and they are used for internal reporting purposes. Each Company Code is assigned a COA. The COA may be the same for multiple Company Codes, but each Company Code may only use one COA.
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