Configuring the Financial Accounting

System

Slide 2

Note As you work through the configuration

process, I STRONGLY suggest that you follow along with the SAP IMG Help at

http://help.sap.com/saphelp_46c/helpdata/en/e0/71369adc56d11195100060b03c6b76/frameset.htm

Slide 3

The Client At the top of the food chain is the client

(instance) Remember that we have different clients

for development, test, production, etc… A client can have many companies Financial accounting is a key building

block in the organization and usually configured first

Remember, financial accounting is for external constituents and reporting

Slide 4

The Company Code A company code comprises a legal

entity and is structured from a financial accounting perspective Financial statements are produced at this

level Financial accounting cannot be carried

below the company code level

Slide 5

The Company A company has one or many company

codes A company is used to aggregate

company codes for purposes of consolidated financial statements

Company codes must use the same fiscal year and COA to belong to a company

Fitter / Snacker has a single company and company code

Slide 6

The Chart of Accounts (COA) It’s the chart of accounts you know from

accounting We can create custom COAs or use

those created for us by SAP Every account in a COA belongs to an

account group

Slide 7

G/L Account Groups All G/L accounts belong to an account

group The assigned account group controls the

behavior of the account Balance sheet accounts P/L accounts Etc.

Slide 8

Configuring Fiscal Periods All companies have a fiscal year Fiscal years might not correspond to

actual years The fiscal year variant is used to

configure the regular periods and any special posting periods

We can create custom fiscal year variants

Slide 9

Configuring Fiscal Year Periods (2)

Slide 10

Credit Control Area An SAP organizational unit responsible

for maintaining customer credit limits A Company Code has exactly one credit

control area One credit control area can be

responsible for many company codes

Slide 11

Financial Accounting Assignment Fiscal Year variant must be assigned to

a COA COA must be assigned to company code Credit Control Area must be assigned to

a company code

Slide 12

A Word about Controlling Accounting (CO We will do this later as we first need to

set up the organizational structures to which we will assign costs