Fico Intvi

8/12/2019 Fico Intvi

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Question 1: Additional Log

What is the additional log in the AP payment program and how can it be used fortroubleshooting ?

A: The additional log is an important setting when performing a payment run. The amount ofinformation stored in the log can be selected see below!.

"f there are any errors with the payments run# due to either missing or incorrect master datasettings# negati$e balances due to credit memo%s etc# the system will report these in the additionallog.

&upport position inter$iews often as' this (uestion as a way of determining if you 'now how totroubleshoot day) to)day Accounts Payable operations

Question *: +aster ,ata

-ow can you lin' customer and $endor master records and what is the purpose of doing so ?

A: n the customer master there is a field /$endor0 and li'ewise on the $endor master there is afield /customer0. y entering these master data numbers# a lin' can be created between the

AP2A3 subledgers for use in the payment program# dunning routine and the clearing of openitems.

4or e5ample in the payment program# if a specific business partner is your $endor but also yourcustomer# lin'ing their master records together will allow the open A3 in$oices to be offset againstthe outstanding AP in$oices.

Question 6: Payment Terms

What are terms of payments and where are they stored ?

A: Payment termsare created in configuration and determine the payment due date forcustomer2$endor in$oices.

They are stored on the customer2$endor master record and are pulled through onto thecustomer2$endor in$oice postings. The due date deri$ed $ia the payment can be changed oneach indi$idual in$oice if re(uired


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Question 7: aseline ,ate

What is meant by a /baseline date0 in &AP A3 and AP ?

A: The baseline date is the date from which the payment terms specified in "+8 transaction! apply 9sually this is the document date on the in$oice but can also be the date of entry orposting date from the ledger.

Question : ne Time ;endor

What are one)time $endors ?

A: "n certain industries especially where there are a high $olume of cash transactions!# it is notpractical to create new master records for e$ery $endor trading partner.

ne)time $endors allow for a dummy $endor code to be used on in$oice entry and the informationwhich is normally stored in the $endor master payment terms# address etc! # is 'eyed on thein$oice itself.

Question @1 need to be assigned to your$endor account groups in transaction A&. The decision needs to be made whether to assignan e5ternal number range where the user chooses the master record number! or an internalnumber range system assigned!

Question : Payment 3un

@ame the standard stages of the &AP Payment 3un.

A: The following steps are usually performed during the payment run


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Bntering of parameters company codes# payment methods# $endor accounts etc!Proposal &cheduling = the system proposes list of in$oices to be paidPayment boo'ing = the boo'ing of the actual payments into the ledgerPrinting of payment forms che(ues etc!;ariations on the abo$e may be found in different &AP customers# but the inter$iewer will be

loo'ing for the basis steps abo$e.

Question C: Payment +ethods

What is the purpose of payment methods and where are they stored?

A: 8enerally payment methods are one digit alphanumeric identifiers that indicate the type ofpayments made to $endors or recei$ed from customers.

There are many standard deli$ered &AP entries for each country.

4or e5ample for the 9# the following are pre)deli$ered:)

The payment methods are stored in the $endor2customer master record as well on$endor2customer line items. The default from master record can be changed during manualpostings!

Question D: Blectronic an'ing

B5plain briefly how you can import electronic ban' statements into &AP.

A: A te5t file is recei$ed from the ban' which is then uploaded into the &AP system. The filecontains details of the company%s ban' mo$ements e.g. che(ues# ban' interest# ban' charges#cash receipts etc. ,epending on the system configuration &AP will attempt to boo' thesetransactions automatically to the correct accounts to a$oid the need for manual entries by &APusers.

Any postings which the system cannot deri$e automatically can be boo'ed through /post)processing0

Question 1E : 3esidual Payments

"n Accounts 3ecei$able# what%s the difference between the Fresidual payment% and Fpart payment%methods of allocating cash ?


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A: These are the two methods for allocating partial payments from customers.

As an e5ample# lets say in$oice A1*6 e5ists for 1EEG and a customer pays


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is # what is dunning in sap# What is meant by a # What is the additional log in the AP paymentprogram and how can it be used for troubleshooting# What is the purpose of payment methodsand where are they stored

&AP 4")H Technical "nter$iew Questions 1

1. Tell me about 4" rganiJational structure?

Ans: Hlient K perating Honcern KHontrolling area1 Hontrolling Area * K Ho. Hode 1 Ho. Hode *Kus area 1 us area* us Area6 us Area 7

*. -ow many @ormal and &pecial periods will be there in fiscal year# why do u use specialperiods?

Ans: 1* @ormal posting period and 7 special periods are in the fiscal year which can be used forposting ta5 and audit adustments to a closed fiscal year.

6.Where do you open and close periods?

Ans: PP; is used to open and close the periods based on a2c types considering 8L Accounts. Tr.Hode. *.

7.What do you enter in Hompany code 8lobal settings?

Ans: 7 digit Alphanumeric 'ey.@ame of the companyHityHountryHurrencyLanguage

Address

.What is document type# and what does it control? B5amples.

Ans: ,ocument type is nothing $ouchers containing line items. &e$eral business transacM tionscan be identified within a particular document type."t controls the document number ranges."t controls the -eader part of document"T controls the line item le$el of the document-elps filing of physical document


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1*! What is reconciliation accountI can you directly enter documents in that a2c?

Ans: When you pM ost items to a subsidiary ledger# the system automatically posts the same datato the general ledger. Bach subsidiary ledger has one or more reconciliation accounts in thegeneral ledger.We can%t use reconciliation account for direct postings.

16! -ow do you control field status of 8L master records and from where do you controlM

Ans: 4ield status $ariant is maintained all 4&8s.

17! What are the segments of 8L master record?Ans: ) HA &egmentA2H group@ature of account&hort te5t8L a2c long te5tTrading partner8roup Account @umber

Hompany code segmentAccount currencyTa53econciliation a2c for a2c type"+#L",#4&8.

1! What does 4ield status group assigned to a 8L master record controls?

Ans: "t controls the account assignments that are made to the account. &pecifically the fieldstatus group controls whether postings to cost centers# internal orders# profitability segments andso on are re(uired# not allowed suppressed!# or optional.

1

Ans: perational chart of account = ,ay to day acti$ities "t is mandatory.Hountry HA = "t%s used for legal specific re(uirement of each country. "t%s additional andoptional.8roup HA used for consolidation of Hompany codes. This is for group consolidationpurpose.

1! What are all the segments in a Hustomer2;endor master record?

Ans: &egments in Hustomer &egments in ;endor8eneral ,ata segment 8eneral data segmentHompany code segment Hompany code segment&ales area segment Purchasing organiJation &egment

1C! What is open line item management? What do you mean by clearing open line items?

Ans: pen item management is further reconciliation function. "+ allows you to display the openand cleared items and amounts in an account. "+ should be used if an offsetting entry is madefor e$ery line item posted in the account. The a2c is reconciled and cleared against anotheraccount. B5. &alary clearing account and 832"3 Hlearing account.

1D! What is residual payment and part payment?


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Ans: 3esidual payment it clears original in$oice with incoming amount and create new line itemfor remaining outstanding amount.Partial payment it lea$es the original in$oice amount and creates newline item for incoming amount.

*E! What is internal and e5ternal number ranges?

Ans: "nternal @umber 3anges: ,oc. @o will be pro$ided by the system automaticalM ly in serialorder allotting the ne5t a$ailable progressi$e number. The number must be in numerical.

B5ternal @umber ranges: ,oc. @o will be gi$en manually by the end user. &ystem will not loc' noautomatically in this case. 9ser can pic' the number randomly. @umber may be an alphanumeric.

&A4 4" Technical "nter$iew Questions *

Questions are answer best of my 'nowledge# if " am wrong# please correct me..anyone

1. -ow can be or in what way baseline date is important in Automatic Payment Program run?

The aseline date is used to calculate the due date by ta'ing into account the payment terms. nthe APP# the baseline date helps to pic' the rele$ant in$oices for payment. ,uring the APP runwhen in$oices are pulled into the run# the system chec's the F@e5t Payment ,ate% before pic'ingthe in$oices to be paid.

*. Please tell me the procurement cycle how it wor's?

Procurement cycle = a sales order is placed on a re(uirement made by a customer# after which itis passed on to create a purchase order this could either happen based on the re(uirements onthe or a planned &!. the $alue flow gets passed on to 4" at the time of goods mo$ement. "n

the case of &,# the impact on 4" happens only at the time of billing.

6. ,ifference between ,epreciation #Accumulated ,epreciation and APH?What is APH?

,epreciation = a decrease in the $alue of an asset due to wear and tearAccumulated ,epreciation = the total amount of depreciation calculated on a particular asset.APH = refers to Asset transactions other than depreciation

7. What is 832"3?What ournal entries we should pass for this?

The 832"3 = the goods receipt2"n$oice 3eceipt account is used to post to whene$er goods thatare not yet in$oiced ha$e been recei$ed or when in$oices arri$e b7 the the deli$ery of goods.

,uring the time between the in$oice being created and deli$ery of goods# there can be a timingdifference# in order to accommodate this timing difference# a 832"3 account is maintainedtemporarily to record the flow .

. What are the accounting entries ta'e place in ++ and &,?

;alue from ++ to 4" is defined in NH. on the material master the flow of $alues areassigned on the Hosting# acctg# etc tabs where the system helps to post the necessary stoc'$alues into the appropriate 8L accounts. helps to determine# the 8L accounts updated when


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there is a mo$ement of goods.&,)4" ) ;A


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4"2H "nter$iew Questions

"mplementation e5p.:

rief about the proect you did: w.r.t. the main acti$ity of the client# -ow many plants they had#

What modules were implemented# Who were the implementers# What%s the implementation teamsiJe# -ow many were in your module team# What%s your role in the proect with respect to theacti$ities you partoo' in the proect# The Bnterprise &tructure with regard to the no. of HompanyHodes# any usiness Areas or Profit Henters defined# Host Henters defined# What%s the period ofthe proect# When did they 8o)Li$e?# Any issues you%d sol$ed during F&upport% phase?

Questions on conceptual understanding:

a! &AP 326 definition and 6)Tier Architectureb! F3eal time integration% ad$antage of &APc! A&AP methodologyd! &olution +anagere! Hlient 2 Hompany 2 Hompany Hode 2 usiness Area

f! usiness Area $s Profit Henter Approachg! -ow effecti$e will be the 4inancial &tatements generated through usiness Areash! With -olding Ta5es $s B5tended W-Ti! 4ield &tatus Honcepts 82L master fields controlled through Account 8roup and ,ocumententry through 4ield &tatus 8roup set in the 82L master

! &pecial 82L transactions'! pen item managementl! 3econciliation Accountsm! &ubsidiary Ledgersn! &ort 'eyo! @egati$e Postings Allowedp! &pecial periods(! nly balances in local currency

r! "mportant Posting 'eys for 82L# A23# A2P# AA# &toc' Bntriess! Assessment $s ,istributiont! rg. &tructure for 4"u! rg. &tructure for H$! Product Hosting: -ow the $alues flow in the system

Honfiguration:

a! B5tended With -olding Ta5es configuration steps = right from creation of W- Ta5 Types#Hodes to Annual 3eturnb! 4")++ "ntegration NH configuration with particular reference to ff)&etting entries!c! 4")&, integrationd! ,own Payments transactions

e! "nterest = alances 2 Arrearsf! Asset Accounting: Asset Hlass# +ain Asset# &ub)Asset# 8roup Asset# ,ep. Areas# ,ep. ey#Transaction @o.s 1EE) B5ternal ac(uisition# *1E = 3etirement with 3e$enue# etc.!# "mp.Transaction Hodes.

8eneral (uestions:

a! Bducational ac'groundb! What influenced you to go in for &AP career?


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c! 4unctional Hareerd! Present earnings $s B5pected paye! "nclination to relocate

What is APH?

APH stands for Ac(uisition and Production costs. Ac(uisition means any asset which you mayac(uire2 purchase e5ternally. "t includes in$oice price and other related e5p. Associated with it li'ecustoms# octroi# freight which you add and arri$e at total cost of ac(uisition for capitalisation ofthe asset.4or e5 &ay a computer. The total cost which you incurr for the ac(uisition of thecomputer including installation will be your APHProduction cost means any asset which is created internally within the organisation. This isnormally created by means of A9H and you go on adding cost to the A9H as and when you incurre5p. for the same.4or e5. say addition to the office building. Therefore APH incudes any e5ternalac(uisition or internal construction of e5p. which needs to be capitalised.

"n A, under E1 deprn area Ac(uisition O prod Host tic' is acti$ated. +araJban ,. ,alalThis is umapathy# " ha$e intere$iew tomorrow# if anybody ha$e ta'en inter$iew with any company#'indly let me 'now what the (uestions they will be as'ing# how will be the inter$iew. -ow the

(uestions will be on configuration# implementation side and other (uestions plJ.. share with me.Pl. prepare yourself on the following broad lines:

"mplementation e5p.:rief about the proect you did: w.r.t. the main acti$ity of the client# -ow many plants they had#What modules were implemented# Who were the implementers# What%s the implementation teamsiJe# -ow many were in your module team# What%s your role in the proect with respect to theacti$ities you partoo' in the proect# The Bnterprise &tructure with regard to the no. of HompanyHodes# any usiness Areas or Profit Henters defined# Host Henters defined# What%s the period ofthe proect# When did they 8o)Li$e?# Any issues you%d sol$ed during F&upport% phase?

What is a brea'point ?rea'point is used to help the user scrutiniJe how the system beha$es at a certain point in the

AAP code. At that point the system goes into debug mode. This brea'point is useful inin$estigating how routines and re(uirements function. y accessing the routine source code andsetting a brea'point at its e5ecution point# a user can follow the routine through each step.

What is a HATT ?

HATT means Homputer Aided Test Tool. "t is &APRs tool for processing transactions automatically.HATT is used in bringing in data# such as a mass maintenance of the material master in B>HBL#from an application to modify master data.

What is a user e5it ?

9ser e5it is a point in an &AP program at which a customerRs own program can be called. 9sere5its allow de$elopers to access program components and data obects in the standard system.There are two types of user e5its )user e5its that use includes customer enhancements that are called from the program!and user e5its that use tables# which are used and managed directly $ia customiJing.

What is a client ?

Hlient in a &AP wor' en$ironment is the highest organiJational structure. +any clients can befound in each system. QA (uality analysis! and ,e$elopment are clients in Training and


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Production system.

What is an authoriJation ?

AuthoriJation gi$es an &AP user permission to perform a gi$en set of transactions.

Who is a user ?

Anyone who is gi$en access to the &AP system by the system basis! administrator is 'nown as auser.

What is a $ariant ?

When e5ecuting a program# different selection parameters may be used. These selectionparameters are stored in the &AP system as $ariants.

What is a &QL trace ?

&QL trace records all open# prepare# fetch# e5ecute and actual &QL statements and the durationtime for each step in a procedure.

What is master data ?

+aster data is used in an &AP system to represent the basic components of a procedure and toensure data integrity throughout the &AP business process. This gaurantees that one commonrecord is accessed for different procedures. B5ample ) a customer master record may bereferenced by more than one functional module : 4" financial! and &, sales and distribution!.

What is the "+8 ?

"+8 is "mplementation 8uide that &AP system de$elopers use to customiJe the client they arewor'ing in.

What is A&AP ?

A&AP is Accelerated &AP# a proect management software tool that is used on &APimplementations to guide the proect through different phases. A&AP can ta'e a proect from thedesigning of the SblueprintS through to Sgoing li$eS. Accelerated &AP is &AP%s total process)oriented solution for accelerated implementation and continuous optimiJation of 326.

What are the core modules of &AP ?

The core functional modules in &AP 326 are 4inancial Accounting 4"! usually in combination with

Hontrolling H! or Treasury T3! ) -uman 3esources -3!# and logistic modules : &ales and,istribution &,!# +aterials +anagement ++!# Quality +anagement Q+!# Plant +aintenanceP+!# and Production Planning PP!.

What is the AAP Wor'bench?

AAP Wor'bench is &APRs graphical programming en$ironment. "t is used to write AAP code#design screens# create user interfaces# obtain database information# debug and test applicationsfor effeciency.


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"n the &, document# what are the three le$els of a sales document?

Bach sales document comprises of three main le$els and each le$el is represented by a tablethat holds the data for that le$el. ,ata for the header le$el is stored in table ;A# data for theitem le$els is stored in table ;AP# and data for the schedule line le$el is stored in table ;BP.

What is a user profile?

9ser profile is a set of authoriJations that enable user access to certain parts of the &AP system.What is a sales area ?

&ales area is a segment that combines the sales organiJation# the distribution channel# and thesales di$ision.

What is a logical database ?

Logical database is an AAP program that combines the contents of database tables. "t is lin'ed

to an AAP report program as one of the program attributes. "t supplies the report program with aset of hierarchically structured table entires deri$ed from different database tables. This sa$es thede$eloper from ha$ing to program the data retrie$al.

What is a re(uirement ?

3e(uirement is a portion of code that is used to determine if a function or formula should bee5ecuted.

What is an AAP Query ?

AAP Query is a reporting tool that uses a logical database L,!# indi$idual table# or combinedtables to form a report.

What is a functional area ?

4unctional area is assigned to the (uery. "t is the representation of a logical database or tableswith their respecti$e table oins. This defines which tables and fields the (uery can reference.

What is a batch input ?

atch input facility in &AP is a con$enient tool for capturing data into &AP or updating largeamounts of information in &AP transactions. The simplest way to utiliJe batch input is by : 1!3ecord the batch input for the transaction used to enter the data in &API *! Then e5port the batchinput recording to a te5t file. 4rom the recording# you 'now what data is re(uired. Hreate a

spreadsheet or word processor document containing all the data to be captured or changed.Then mail merge the e5ported te5t file with the data in a word processing program. 4inally# importthe merged file# upload the file into &AP# and e5ecute the batch input in &AP.

What is L"& ?

L"& is Logistics "nformation &ystem. L"& consists of following information systems )&ales "nformation &ystemPurchasing "nformation &ystem


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"n$entory Hontrolling&hop 4loor "nformation &ystemPlant +aintenance "nformation &ystemQuality +anagement "nformation &ystemThese information systems can be used to plan# control# and monitor business e$ents at differentstages in the decision)ma'ing process. They are fle5ible tools for collecting# aggregating# andanalyJing data from the operati$e applications.

What is && ?

&& is an nline &er$ice &ystem which can be used to access information about a module in agi$en release. && is a database of notes on 'nown issues and their remedies. Any user with alogon name and password can access this information. && can be used to obtain (uic'responses from the &AP help des' representati$es# administration and registration of new users.

What is an &AP 89" ?

89" means 8raphical 9ser "nterface. "t is responsible for the graphical layout of the &APsoftware. 89"s in &AP 326 differ from $ersion to $ersion of &AP

4"H Questions

Hourtsey of :

1. Tic' the incorrect answers4" configuration is di$ided into the following le$elsa. rganiJation ,efinitionb. 8lobal settingsc. Transaction codesd. Accounting functions

*. Tic' the correct answerThe procedure modela. Pro$ides steps re(uired for creating clients# users and authoriJationb. Hontains documentation for the configuration of applicationsc. Pro$ides Planning basis for implementation proect.6. ;iews within "+8 allow for grouping of transactions based on $arious criteria.True24alse

7. usiness Area is set up within organiJation structure and is lin'ed to the Hompany Hode.True24alse

. Parameters for processing accounting data is must when creating a Hompany Hode.True24alse


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a. 4le5ibility to reflect comple5 organiJational structure.b. ,ata entry during creation of a transaction is minimiJed.c. Possibility to consider future changes in organiJational structure.d. &eparation of data into different functional modules

D. Hustomer and ;endor +aster records can be accessed from the "+8 side.

True24alse

1E. +aster records may be assigned to an Account 8roup.True24alse

11. What are the two types of creating a +aster 3ecord?

Ans. : Hentrally# &tep)by)step i.e. at HA le$el then at Ho. Hode le$el.

1*. Posting to a loc'ed 82L master record gi$es a warning and then lets the user post to themaster record.True24alse

16. nly one $endor master record is defined for a client ha$ing four different companies.True24alse

17. What is a ,ata Transfer 3ule in the conte5t of &ample Accounts?

1. "f the Hurrency 'ey of a alance &heet Account is not same as the Local Hurrency then themonthly debits and credits are stored only in the specified foreign currency. True24alse

1


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*7. Tic' the incorrect answer

,ocument typea. ,istinguishes between the type of business transactionsb. Assigns the document @umber

c. Hontrols the account types that can be posted to the documentd. 9sed as a sort Hriteriae. @one of the abo$e.

*. Tic' the correct answer

a. @umber 3anges must be defined for a ,ocument Type.b. 3ecurring ,ocument @umber 3ange is not associated with any ,ocument Type.c. &ample ,ocument @umber 3ange is associated with a ,ocument Type

*


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Allocation field in ,ocument Line "tem is used fora. Hontrolling the screen layout.b. Allocating amount to different cost centersc. 4or sorting of documentsd. 4or referencing another document.

6


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a. "t can contain multiple company codesb. The transaction currency can be different from the currency defined in the Account assignment+odel.c. Ability to change all the fieldsd. +ore number of line items can be added

77. Which all fields in a 3ecurring ,ocument can be changeda. Posting eysb. Accountc. Line "tem amountsd. @one of the abo$e

7. Hreation of the recurring reference document updates transaction figures of the associatedaccounts.True24alse

7


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A SWor' ListS isa. List of pending obsb. List of scheduled obsc. @o of Bmployees and their ob statusd. combination of accounts or company codes


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7. B5plain the two steps of adding a field to a Hoding loc'.

Ans. Light +ode: nly the absolute minimum amount of information re(uired to create a field isentered. B5pert +ode: +ore detailed data dictionary and table information to be entered to createa new field. This is more comple5. After a field is been entered a subscreen is generated to build

the particular posting screen and to position the new field.

. When posting document in 4"# if only one line item has a business area# the system willautomatically populate the blan' records in the other line items. True24alse

< +ultinational corporations can issue POL statements and 2& in up to 7 currencies.True24alse Ans. 6

. "nde5 currency is used in high inflationary en$ironment.True24alse Ans. -ard Hurrency

C. Which field determines where to post the e5change rate differences of foreign currency duringre$aluation?

Ans. B5change rate difference 'ey in 82L Account master records

D. The special 82L transactions per customer2$endor are trac'ed in the customer and $endorreconciliation accounts.True24alse

Ans. reconciliation accounts other than reconciliation account for customer and $endor

CE. A special 82L transaction is defined by the special 82L indicator and the account type.True24alse

C1. Han a financial statement structure be deleted from the system.?

Nes2@o

C*. "n 8L"& from the business ratio field can you drill)down to the line item le$el?Nes2@o

H "nter$iew Questions

Again courtsey of :

Host center accounting

1. ,escribe how cost center accounting differs from financial accounting?

H is for internal reporting where 4" is more for e5ternal legal reporting. H relates more toindirect and o$erhead costs# which donRt affect 82L. These costs hit the 82L once# after that all theallocations are behind the scenes.

*. ,escribe the possible options for a controlling area ) company code relationship Put emphasison the option you ha$e in terms of different currencies.

A controlling area can encompass one or more company codes. These company codes may ha$e


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different currencies# but they must use the same chart of accounts. The controlling area isassigned a currency# but can also support multiple company code currencies. "f all the companiesha$e the same currency# then the obect currency is freely definable if currency type 1E is used!."f the company codes do not ha$e the same currency# then the obect currency inherits thecurrency of the company code.

. ,iscuss the cross)company controlling?

Hross)company)code controlling enables cross)company transfers and reports to be made in H#but increases the organiJational o$erhead at the cost center. "n cross)company)code accountingin$ol$ing different currencies# the H account assignment obect e.g. cost center! inherits itscurrency from the company code.


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,esigned for cost center settlement# primary and secondary postings are allocated at the end ofperiod according to a user defined 'ey. The original cost elements are totaled and posted to asecondary cost element assessment cost element!. Line items for sender and recei$er arepro$ided# with recei$er cost center getting information on sender cost center. Assessments caninclude all or a portion of costs from the sending cost center.

66. ,istinguish between the two cost allocation techni(ues: assessment and distribution.

"n a distribution# all recei$ing cost obects are debited with a portion of an original cost elementthat had been posted to a sending cost center. This portion is determined as part of configuration."n assessment# a secondary assessment cost element is used. Within the sending cost center# allcosts to be allocated are totaled and the sender is credited with this assessment cost elementwhile all recei$ers are debited with a portion of assessment costs. This could be all costs or aportion of the costs both primary and secondary that had been originally posted to the sendingcost center!.

6D. What is the difference between direct and indirect acti$ity allocation?

With direct acti$ity allocation an indi$idual acti$ity confirmation ta'es place. Thus the acti$ities aredirectly allocated to the cost centers.The purpose of indirect acti$ity allocation is to automatically allocate planned and actual acti$ities.There are two 'inds of indirect acti$ity allocation.

7E. What are the two allocation categories for indirect acti$ity allocation?

Acti$ity $olume 'nown: The planned and actual acti$ity $olume is 'nown. The total actual $olumeis manually entered for the sender and allocated to the recei$er cost centers or orders! basedupon some planned2actual (uantity2 statistic.

Acti$ity $olume not 'nown: This uses management units to pro$ide an actual acti$ity (uantity tothe sender cost center using statistical 'ey figures so that the system can calculate an operatingrate for the target cost calculation.

7*. What is actual cost splitting and its purpose?

Actual costs can only be posted to cost centers within cost center accounting. Therefore# in orderto compare target $ersus actual costs on acti$ity types and to display $ariances for each acti$itytype# it is necessary to split apportion! the actual costs to each acti$ity type.

76. What are the two stages which splitting actual costs based on the acti$ity type occurs?

The actual costs are split in two stages 1st stage is not necessary in planning!:

1! "n the first stage# the actual cost are apportioned by cost element to the acti$ity type based onthe target costs or target (uantities. "f no costs e5ist for a cost element# the target cost of the costelement group is used as the first splitting step.

*! "n the second stage# the remaining costs on the cost center le$el are apportioned to the acti$itytypes according to the splitting rules user defined!. "f the splitting rules are not defined# the actualcosts are split based on the e(ui$alence numbers for the acti$ity type.

"nternal orders


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*. What are the primary functions of an order?

1! Quantitati$e control of input factors and sales performance sales and production order!.

*! +onitors costs and supports decision ma'ing "nternal o$erhead orders and capital spending

orders!.

6. ,efine and contrast indi$idual orders and standing orders. 8i$e e5amples of each.

"ndi$idual ) Hollects costs of a one)time business acti$ity Hhristmas party# capital spendingorder!.&tanding ) Allocated each month to a cost center# it is used to collect the costs of regularlyoccurring acti$ities maintenance order# small repairs orders!.

7. What is a statistical order? Why would you use one?

A statistical order collects costs for informational purposes and does not settle costs against

another obect. Nou would use this to trac' costs in a separate fashion without double countingthem. An e5ample would be one car in a fleet of cars. Typically# a statistical order could collectdata that also was posted to a cost center.

D. "n what two ways can an internal order be processed?

An order can be processed indi$idually or with collecti$e processing. An e5ample of this is that itis possible to call all orders which ha$e already been released but not yet ha$e a settlement rule.9sers can enter recipient cost centers in the list screen or alternati$ely# they can reach the entryof the distribution rule $ia the &ettlement rule function. This is not the same as choosing an ordergroup.!

1E. ,escribe briefly the collecti$e automatic processing of internal orders.

This allows you to select a group of orders so that you can change them all (uic'ly andaccurately. +anual collecti$e processing re(uires the use of a list $ariant and allows changes tobe made to the order master data. Automatic collecti$e processing is used to release orders orsettle them. This changes the status of an order# not the master data.

1*. What is a selection $ariant and what is it used for within H?

A selection $ariant is &AP or user)defined to select orders. The $ariant chosen determines whichmaster data fields are offered for selection of collecti$e processing# whether a status profile canbe used# whether a selection rule can be used and what default $alues will appear in the fields.

16. What is a list $ariant?

A list $ariant defines which master data fields can be maintained for collecti$e processing.

17. What options do you ha$e for additional account assignments within a H posting and whenwould you get a statistical posting?

There can be two additional account assignments e5cluding business areas and profit centers.These can be chosen from an order# proect# or profitability segment. "f the order or other obect is


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not mar'ed for statistical postings# the profit center is always statistical.

1. What are the different commitment types the system can record for an internal order? 4orwhich type do you ha$e to perform a manual reduction?

Purchase 3e(uisition

Purchase rderThe a$ailability control allows you to warn a user if2when budget is e5ceeded. Nou set tolerancesfor these a$ailability controls.4unds 3eser$ations must be manually reduced by the user.

1


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7. T 4 There are * 'inds of Profitability Analysis: Host ased and ;alue 4ield asedT 4 ,eri$ation is used to define $alues for non)system deli$ered fields.T 4 ,eri$ation can be multi)le$el but not multi)dimensional.T 4 &ales information is recei$ed into PA at the time the illing ,ocument is released.

. UUUUUUUUUUUUUUUUUU is the organiJational unit within Profitability Analysis.

perating Honcern!


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D. All the sets contained in a UUUUUUUUU)characteristic set refer to the &A+B characteristic.single!

1E. 9sing UUUUUUUUU sets you define which $alue fields or (uantities are shown in a report. data!

What are the 6 le$els that a customer master record can be maintained at? Why do these threele$els e5ist? 8i$e an e5ample of the information stored on these le$els.

Hlient# company code# and sales if maintained centrally!. B5ists so that you can tailor thecustomiJation at each le$el. Adds more fle5ibility to the structure of a master record. 4or e5ample#if you ha$e one customer named AH Ho.# you define it once for your client Pepsi Ho. Thatcustomer e5ists in two companies of the client# Taco ell and 4rito Lay. -owe$er# in Taco ell thecustomer has different dunning areas# ban's# payment terms than in 4rito Lay. This is an e5ampleof how all information is the same for AH at the client le$el# but different at the company codele$el. f course# &ales information would be different in each company code as well.

What are the 6 le$els that a $endor master record can be maintained at? Why do these threele$els e5ist? 8i$e an e5ample of the information stored on these le$els.

&ee the e5ample gi$en abo$e. B5ists so that you can tailor the customiJation at each le$el. Addsmore fle5ibility to the structure of a master record. "n the abo$e e5ample# if AH Ho# is a $endor inthe companies Taco ell and 4rito Lay# under the client Pepsi Ho# and the payment terms#payment methods are different at the company le$el. f course# purchasing information would bedifferent in each company code as well.

What are the two purposes of the customer2$endor Account 8roup? 8i$e an e5ample of how theAccount 8roup is used.

1! Bstablishes number range of the customer2$endor master records ) a number range isassigned to an account group. This adds fle5ibility# you are able to 'eep similar accountsnumbered distinctly. 4or e5ample customers are 1)1EE#EEE# $endors might be *EE#EEE ) 6EE#EEE.ne)time customers might be 7EE#EEE)EE#EEE.

*! Bstablishes the screen layout for customer2$endor master records. All fields at the client andcompany code le$el for customer2$endor master records can be designated either suppressed#optional# re(uired or mandatory. 4or e5ample# some $endors may not use dunning areas# so youwould establish a separate account group for those $endors# where the dunning fields aresuppressed.

What are screen layout lin' rules? Why are screen Layout lin' rules used for customer2$endormaster records? Why are they used for line items?

&ince the same information can be designated re(uired# optional# mandatory# suppressed in 6

different places# the lin' rules determine which designation rules out o$er another. These 6 placesare at the account group le$el# company code le$el# and the acti$ity2transaction le$el.

4or line items# the same information can be designated re(uired# optional# mandatory#suppressed in * different places. The lin' rules determine which designation rules out o$eranother. These * places are at the posting 'ey le$el# and the field status group of the 82L masterrecord.

T or 4. Account 8roups are mandatory when creating a sub)ledger account.


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True. Account 8roups are always mandatory when creating customer2$endor master records.

T or 4. @umber ranges may o$erlap for sub)ledger accounts.

True. When setting up number ranges for account groups of customer2$endor master records#

you cannot create one that o$erlaps with an e5isting number range.

,efine ban' directory# house ban'# ban' account# ban' ",# ban' 'ey# and account ",. ,escribethe relationship between all of these and 82L accounts. ,raw a picture if necessary.

The ban' directory is the repository in &AP that contains all of the ban's. "t can be downloadedinto the system or manually 'eyed in. "n order to establish house ban's# which are ban's in whichyour company does business# the ban' must first e5ist in the ban' directory. The house ban' isnamed with a ban' ",# and has a distincti$e or uni(ue# uni$ersally recogniJed ban' 'ey.

All of the accounts in a house ban' are referred to as ban' accounts and are named with an

account ",. Bach ban' account must contain a respecti$e 82L account. Bach 82L account mustcontain the house ban' and account ",. This allows &AP to maintain the ban' boo's accurately.4or e5ample# when you are running the payment program# you specify the ban' accounts thatyou are paying out of. When a payment is made# it is accurately reflected in the corresponding82L account.

What are payment terms? Why are they used? -ow are they define in &AP?

Payment terms define how you deal with a customer2$endor in terms of payment. 4or a customer#it defines when a customer must pay you# in order to recei$e discounts. 4or a $endor# it defineswhen you must pay the $endor in order to recei$e discounts.

The terms can be set up with 6 terms# which are usually cash discount term 1# cash discount term

*# and due date for net payment.

What is the document principle in &AP?

B$ery transaction in &AP creates a document. This is a means of documenting all transactions#being able to trace your actions in the system.

What are the two pieces of a document? What must all line items consist of ?

-eader and line items. All line items must at least consist of a posting 'ey# account and amount.

What do document types control? What is their function?

,ocument types:

1! distinguish between the types of business transactions ) you specify the type. "e. "s it a generalledger accounting document# customer payment# etc.*! controls which account types may be posted to ) you specify the account types that may beposted to. "e. &ome document types are only for asset accounts. &ome are only for $endoraccounts# etc.6! assigns the document number ) each document type is assigned a number range


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7! and is used as a sort criteria ) by all of the abo$e# you are grouping the documents or sortingthem accordingly.

,efine posting periods# fiscal year $ariants# company codes and the relation between each. ,rawa picture if necessary.Posting periods define which periods are open for posting documents# and also which accounts

are open for posting within these periods.4iscal year $ariant define what your posting periods are# in relation to the calendar year. 4ore5ample# if your fiscal year runs from uly to une# you need to define# through a fiscal year$ariant# how that relates to the calendar year# so that &AP can interpret your fiscal year.4iscal year $ariants and posting periods are assigned to a company code.

What is a posting 'ey? What does it control?

Posting 'eys determines how line items are entered. They control:1! debit or credit entry?*! what account type ) posting 'eys are designated for specific account types6! field status ) how are the line items going to loo' if you use this posting 'ey??7! other properties ) is it a sales related transaction? is a special g2l transaction? what is

the re$ersal posting 'ey?

What are automatic line items? -ow are they configured in the system? 8i$e some e5amples ofautomatic line items.

There are certain acti$ities defined at the Hhart of Account le$el in 4" that create automatic lineitems. B5amples include discount e5penses# re$enue from o$er2under payment# ta5es. There is a6)character system)specific code in &AP that corresponds with each of these acti$ities# andusually you must specify a 82L account to correspond with these. This determines which 82Laccount is hit when the automatic line item is generated.

,efine composite profile# profile# authoriJation# $alue# field# authoriJation obect# and obect class.,escribe the relationship between each# draw a picture if necessary.

Homposite profile is assigned to a user and contains one or se$eral profiles. The profiles containthe authoriJations or allowed acti$ities that a person may perform on an obect# for a particular$alue. &imilar authoriJations can be grouped in to obect classes ) such as an &, obect class#and 4" obect class.

What are employee tolerances? Why do they e5ist? 8i$e an e5ample.

They control the ma5imum amount that employees are allowed to post. All control the ma5imumpayment difference that employees are allowed to post. This is a control or authoriJationmechanism. An e5ample would be# you wouldnRt want a brand new cler' to be able to post morethan G1EE#EEE and wouldnRt want them to post an incoming payment that was 1EV less than thetotal. All users must be allocated to an employee tolerance group in order to post.

What are customer2$endor tolerances. Why do they e5ist? 8i$e an e5ample.

They control the ma5imum payment difference allowed for customers2$endors# specify how topost residual items from payment difference# and contain details of clearing procedures. Ane5ample would be: Hustomer ne can post a V difference b2c theyR$e been a customer longerand are more credible. Hustomer Two can only post a 1V difference b2c they are a new customerand ha$enRt established credibility.


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,efine sort 'ey# allocation field. ,escribe the relationship between the two.

Line items are displayed in the order designated by the allocation field. The allocation field ispopulated by the sort 'ey. The sort 'ey specifies the fields that the line items are sorted by.

Why would a proect team want to configure its own line item layout? Why would a proect teamwant to configure its own fast entry structure?

&ome fields are more rele$ant for some customers than others. 4or instance# maybe the $aluedate or dunning areas are not important for a group of Accounting cler's to see. &o a line itemlayout would be made that did not include these fields. Also# it may be typical that cler's alwaysretrie$e line items according to the posting date. This would be a necessary field located in theline item layout."n the same concept

What is credit management? Why is it used in &AP?

The &AP functionality that allows you to maintain credit for customers on $arious le$els# based onthe customerRs creditworthiness. asically credit chec's can be performed for customersthroughout the sales cycle. Hredit management is hugely integrated with &,.

-ow is 4" credit management integrated with &,?

Nou can set up ris' categories# automatic credit chec'ing# and update groups to chec' in$oicesas they proceed throughout the sales cycle.

What is a Hredit Hontrol Area? Where does it fall in the organiJational structure?

Hredit Hontrol Area is the highest hierarchial le$el in Hredit +anagement. "t falls below the clientle$el# abo$e companies. Nou create credit control areas and assign companies to them. Bach

company can only be assigned to one credit control area. b$iously# customers can span HreditHontrol Areas since the same customer can e5ist in more than one company code.

What are the le$els of configuring credit management for a customer?

4irst# a credit limit can be assigned to a credit control area. Then# any customer assigned to thatcredit control area# will ha$e that limit. n the ne5t le$el# specifications can be made for eachcustomer indi$idually. 4or each customer# you specify the ma5imum limits across all credit controlareas and per credit control areas. Then on the lowest le$el# you specify the current limit acrossall credit control areas and the current limit per credit control area.

T or 4 The credit for a customer can be chec'ed at $arious points along the sales cycle?True.

What is a payment ad$ice? Why would one be used? 8i$e some e5amples of payment ad$ices.

A payment ad$ice contains information about an incoming payment# such as amount# paymentdate# reasons for underpayment# and document number. "t is used for the automatic search andmatching of open items during the clearing process. "nstead of matching an incoming paymentagainst the open items manually# the cler' only needs to enter the payment ad$ice in order toclear.


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What is a reason code? Why would a reason code be used? 8i$e an e5ample.

The reason code specifies the reasons for o$er or under payment. "t also determines if thedifference will be written off to a 82L account. An e5ample would be a reason code set up fordamaged goods. "f a business decision is made to write off damaged goods to a 82L account thenall payment ad$ices with that reason code specified will cause differences to be written off to the

82L account.

T or 4 The 4" module does not currently support Loc'bo5 functionality.4alse.

What is dunning and why is it used?

,unning is a process whereby customer and $endors can be sent late notices for o$erdueamounts.What are the 7 necessary inputs for running the dunning program? ,efine each and gi$ee5amples of the data in each.,ata in master records ) such as address and payment termsasic parameters ) dunning procedure such as te5ts# le$els# charges# interest

n)line parameters ) such as company code# range of customers2$endors" ) payment terms# baseline date in open items

Why are separate dunning le$els supported by &AP? What is the purpose of the le$els?

ecause you may want to specify amounts# charges# te5ts depending on the number of days anamount is outstanding. 4or e5ample# you would want to send a firmer letter to customer whenthey become more o$erdue.

T or 4 Nou may not change the dunning letters that are shipped with &AP.

4alse. They can be edited with &AP&H3"PT.Why would you use ,unning Areas? 8i$e e5amples.

,unning areas are used when you want run different procedures for different groups ofcustomer2$endors. 4or e5ample# you would send a different letter to your more reliablecustomers# than for brand new customers b2c the reliable letter may be more friendly. Also# youmay send a differently worded letter for your plastics buyers than your electronics buyers.

What does the payment program do?

Payment program is the procedure whereby payments are made to customer2$endors foroutstanding amounts. The procedure automatically clears outstanding items and updates thecorresponding ban' accounts to reflect outgoing payments. They system e$aluates all open itemsbased on payment terms and days outstanding to decide if the item is due.

What are the 7 necessary inputs for running the payment program? ,efine each and gi$ee5amples of the data in each.

1!+aster 3ecords ) includes payment methods# house ban'*!Honfiguration ) payment procedure includes ban's# payment methods in co. code# paymentmethods in country# specifications for sending and paying co. codes6!n)line parameters ) things you specify when running the program li'e the company code# thepayment method


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7!" )open items. The payment method in the open item# the payment terms. The amounts.

What are the 6 le$els that the payment program in configured at? 8i$e e5amples of the data thatis configured on each le$el?

Hompany Hode ) specify your paying and sending company codes

an' ) specify your house ban's# ban' accounts you are paying or recei$ing money from.Also configure the balances in the accounts# and their ran' order per payment methodPayment +ethods ) must specify payment methods for in the country and in the company code.

T or 4 The payment method must be configured for a country before it can be configured for apaying company?True.

,escribe how &AP decides which open items must be paid by the payment program.4irst# you specify whether you want to always ma5imiJe your cash discounts# or always minimiJe.Then each open item is loo'ed at indi$idually by the system. "n particular# the payment terms aree$aluated. "f you are always ma5imiJing# the program loo's at the first payment tier# if thepayment program will not be run again in time to get the ma5imum discount then the amount if

paid. "f the payment program will be run again before the first payment tier e5pires# then theamount will be paid at the ne5t run."f you specify to always minimiJe the discount# the amount will only be paid when the program willnot be run again before the net amount is due the third payment tier!.

the defination of integration is lin' between the one module to other moduls."n integration fi consultant ob is creation of some fallowing steps.steps of 4" to ++:1.creattion general ledger masters# transaction code is fsEE*.asignment of account for automatic postings# transaction code is obyc6.define document types and number range# that is WB# WA# 3B. Transaction code is oba.

steps of 4" to &,:

1.creation of general ledger master li'e sales account# transaction code is fsEE.*.asignment of account for automatic postings# transaction code is $'oay: obulesu K EC 4eb *E1*-i Ara$ind#

"ntegration means tight lin' between &e$eral modules li'e4"#++#&,#H!

4or a +anufacturing company:HompanyRs will purchases &e$eral items li'e Production items#+aintenance items#3aw material!for smooth running of the business and are maintained by the ++ dept.

@ow the 4" dept has to pay the $endor as per the material supplys and the fi dept will get theinformation from the ++ dept li'e the (ty supplied# Price per unit in the form of 832"3 reportwhich is called +"8 process in &AP and this migo will be prepared by the ++ dept by using thismigo process the fi dept will run miro to realease the payment. +"3 means"n$oice$erification!where the fi dept will $erify the $endor in$oice with purchase order raised by mm deptand 83 raised by the ++ dept. This is 6 way in$oice $erification for material supply. As per the;endor the $erification differs +aterial or &er$ice! $endor. 4or ser$ice $endor 83"3 will nota$ailable not with the inward to ha$e to $erify.

@ow in "ntegration as a 4" user u ha$e to Hhec' +"8 and run +"3 process and this are thetransaction codes in$ol$ed in 4")++ "ntegration.


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4")&, "ntegration

&ales ,ept maintain the data which sale the companyRs finished product with pricing procedures#deli$ering procedures and billing part.

As a 4" user the debtors will pay payment for the goods recei$ed by them and this update the glaccount so u ha$e to create a sales master record and assign the account for automatic postingto update the gl account by using se$eral transactions li'e WB WA 3B as per the situation.

Documents

Fico Intvi