Loading...

SAP FICO Interview Questions

SAP FICO Interview Questions

1) Explain the term SAP FICO?
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?
The other modules to which ‘Financial Accounting’ is integrated are
    • Sales and Distribution
    • Material Management
    • Human Resource
    • Production Planning
    • Controlling of financial transaction
3) In SAP FI what are the organizational elements?
The organizational elements in SAP FI are:
    • Company Code
    • Business Area
    • Chart of Account
    • Functional Area
4)   In Asset accounting what is the organizational assignments?
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.

5)   What is the importance of asset classes? What asset classes are there?
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 assets 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.

6) How many charts of accounts can company code have?
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?
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?
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
9)  What is a ‘year shift’ in SAP calendar?
SAP system does not know what broken fiscal year e.g is 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?
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)  What is parallel and local currency in SAP?
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.

12)   Where can you use the internal order?
To track the cost, internal orders are used; they are proposed to be incurred over on a short term basis.

13)   Is it possible to calculate depreciation to the day?
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.

14)  Explain what is posting key and what does it control?
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
    • Account Types
    • Types of posting. Debit or Credit
    • Field status of transaction
15) What is the company code in SAP?
To generate financial statements like Profit and Loss statement, Balance sheets etc. company code is used.
virtualnuggets 5025435322851134414

Post a Comment

emo-but-icon

Home item

Blog Archive

Popular Posts

Random Posts

Flickr Photo