SAP Finance FAQs – Series 1

1. What is the SAP Financial Accounting (FI) module?
The SAP Financial Accounting (FI) Module provides integrated, on-line, real-time functionality for processing, recording and maintaining the financial accounting transactions of the business for external reporting purposes.

2. List and describe sub-modules of FI?

  • Accounts Receivable (A/R) – sub-module where customer transactions are recorded and administered within FI.
  • Accounts Payables (A/P) – sub-module where vendor transactions are recorded and administered within FI.
  • General Ledger (G/L) – submodule where financial accounting data for a legal entity is recorded.
  • Special Ledger (S/L) – provides summary information from multiple applications at a level of detail that the user defines that provides summary information from multiple applications at user defined levels.
  • Asset Accounting (AA)- encompasses the entire lifetime of the assets from purchase order or the initial acquisition through retirement. To a large extent the system automatically calculates the values for depreciation, interest, insurance.
  • Legal Consolidations: (FI-LC) is the sub-module with the central task of combining the financial operating results of the companies within a group to provide overall results for the group.
  • Funds Management: (FI-FM) is the sub-module that supports financial checking and control using budgeting techniques.
  • Travel Management (FI-TM): processes business trip and expense data. It may be integrated with HR (Personnel Data and Payroll).

3. Describe the SAP concept of “Integration.”
Integration is the process by which data entered in one module is used by or updates another module on a real-time basis.

4. The General Ledger receives simultaneous postings from which other submodules within FI?
The Accounts Receivable (FI-AR), Accounts Payable (FI-AP), and Asset Accounting (FI-AA) modules.

5. FI-AR is closely integrated with which other module(s) within SAP? Which cycle does this support?
The Accounts Receivable (FI-AR) module is closely integrated with the Sales & Distribution and Material Management modules. FI-AR supports the Sales cycle

6. FI-AP is closely integrated with which other module(s) within SAP? Which cycle does this support?
The FI-AP module is a closely integrated with the Materials Management (MM) module. The Accounts Payable module supports the Procurement Cycle.

7. List (3) features of the FI-GL module.

• Multiple currency capability
• Flexible real-time reporting
• Real-time transaction entry

8. Cash Management is a sub-module of which module?
Treasury module

9. Can depreciation be processed from Asset Accounting sub-module directly to the FI and CO Modules?
Yes

Comments