Financial Accounting-Topic Wise Questions

Time 120 minutes

Chart of Accounts
1. A chart of accounts ( Multi )
a. can be allocated to multiple company code
b. can be defined as the group chart of accounts
c. only contains definitions for G! accounts
d. can only allocated to one company code.
2. "hich of the follo#ing statements is true #hen configuring a group chart of accounts$
a. %n the company code segment of e&ery operational account' the group account
number #ill be a re(uired entry.
b. The group chart of accounts is assigned to the company code in the company code
global parameters screen.
c. "hen the assignment is made bet#een the group and operational chart of accounts'
the field group account number becomes an optional entry.
d. A one to one relationship e)ists bet#een the group account number and the
operational account number in the G.!. master.
*. "hich are true regarding operational chart of account. (+ingle).
a. To perform allocations bet#een companies codes in the controlling each company
code must be assigned to its o#n operational C,A.
b. A company code can choose to #or- #ith multiple operational C,A.
c. %f cross company code controlling is re(uired the same operational C,A must be
used.
d. Company code #ith different base currency must #or- #ith there o#n operational
C,A.
e. The operational C,A is optional by co. code.
,rgani.ational +tructure
/. A client. ( +ingle )
a. only contain a single chart of accounts
b. may contain multiple charts of accounts
c. only use one e)change rate type
d. only ha&e one controlling area
0. %dentify the correct statement(s) regarding organi.ational elements #ithin the 1* +ystem.
a. The 2usiness area is defined at client le&el and changed in transactions defaulted by
Cost Center if cost center defaulted in cost element.
b. A plant is a location in #hich in&entory (uantities and &alues are stored or
manufactured.
c. A Controlling area can comprise se&eral company codes using different chart of
accounts but must operate in the same currency.
3. "hich of the follo#ing statements is true $ ( +ingle Choice)
a. A Company code can belong to more than one controlling area.
b. A plant must be allocated to a company code
c. A controlling area and a company code must ha&e the same local currency.
Page 1 of 11
Financial Accounting-Topic Wise Questions
d. A business area and a company code are assigned to each other in the corporate
structure %MG
4. The producti&e indicator in the Company Code controls the follo#ing.
a. 2loc-s %mplementation Guide menu path
b. 5e6acti&ates the delete documents and delete master data programs
c. 5e6acti&ates the Transport and Correction 1e(uest +ystem
d. 7re&ents the fiscal year &ariant from being changed in the Company Code
e. 7re&ents the Chart ,8 accounts from being changed in the Company Code
9. %dentify the correct statement
a. 2usiness area is defaulted to a Co code in 8%.
b. 2usiness area is mapped to a co. code in controlling area.
c. 2usiness area is used for internal 7:! ac and 2alance sheet.
d. 2usiness area if acti&ated in 8% #ill necessitate an assignment in controlling area
master record.
e. 2usiness area can be mapped to profit center in company in order to produce more
accurate 7:! account.
Account 1ecei&able
;. %dentify the correct statement(s) relating to ho# the main business processes are integrated
in the +A7 1* +ystem. ( Multi Choice)
a. A goods receipt is the recording of the mo&ement of materials into the #arehouse. %n
+A7' a financial document #hich updates the in&entory account and an accrued
liability account is created
b. The %n&oice receipt and &erification process compares the &endor in&oice #ith the
purchase order and goods receipt. <o#e&er' the corresponding financial transaction
must be entered through the financial module of 1*.
c. %n +A7' payment processing reduces the liability to a &endor and a company codes
cash balance' records discounts ta-en and disburses payment.
d. A customer deli&ery is the transfer of the o#nership of goods. A customer deli&ery
includes' creation of a deli&ery document' pic-ing the goods for shipment= physically
transferring the goods to the customer and financially recording the goods issue.
10. 7lease clic- on the button ne)t to the correct ans#er.
a. The business area can run across many company codes' i.e. all company codes can
post in all business areas.
b. A company code may belong to more than ,ne Controlling Area.
c. >ach company codes uses e)actly one operating chart of accounts and one
controlling area for assignments
d. 2usiness areas are used to create internal balance sheets and income statements.
11. "hich correspondence e)tracts all items in the chosen period from a customers account
displays the balance carried for#ard balance and a closing balance of the account $
a. 7ayment ad&ice
b. 7ayment notice
c. Account statement
d. 5unning notice
12. "hich of the follo#ing statements about creating customer master records are correct$
a. An account group al#ays gets assigned to a customer.
b. The company code is al#ays a re(uired entry.
c. The account number may be assigned by the user e)ternally.
d. %nformation on each screen may be defined in configuration as mandatory'
suppressed or optional' depending upon the account group.
Page 2 of 11
Financial Accounting-Topic Wise Questions
e. %nformation on each screen may be defined in configuration as mandatory'
suppressed or optional' depending upon the company code.

1*. "hich of the follo#ing statements are correct$
a. A 8% customer master is di&ided by client le&el and company code le&el.
b. %n case of one6time customer you ha&e to enter the customers address in the
document itself.
c. Address' control data' and reconciliation account are included in the client le&el of the
customer.
d. The most efficient #ay to create master records is to #or- #ith the e)ternal number
range not internal number range.

1/. "hich of the follo#ing statements are correct$
a. %f a customer is also a &endor' the system can include outstanding Accounts
1ecei&able in&oice items in payment program.
b. %f a customer is also a &endor' the system can include outstanding Accounts 7ayable
in&oice items #hen you clear incoming payment receipts for the customer.
c. The reconciliation account defined on the customer master record is an account used
to reconcile C, transactions bac- to 8%.
d. All customer belonging to the same account group must be assigned to the same
reconciliation account.
e. The alternati&e payer is used to transfer outstanding recei&able item to the
alternati&e payers account.
15. "hich of follo#ing statements are correct$ ?mul@
a. The customer master data comparison the customers in the legacy system #ith the
customers in the 1* +ystem.
b. The customer master data comparison compares #hich master records are already
created in financial accounting but not yet created in sales and distribution.
c. The customer master data comparison compares #hich master records are already
created in purchasing but not yet in sales and distribution.
d. The customer mater data comparison chec-s #hether the customer master record
contains a telephone number.
Aendor Master
13. "hich statement is true$ (Multi)
a. %n Aendor master record it is possible to acti&ate a chec- for duplicate in&oice at doc
entry
b. %f you delete a &endor master record' data is automatically deleted on both chart of
account le&el and co. code le&el.
c. Changes to &endor master records can only be displayed using central function.
d. Bou can bloc- a &endor to pre&ent financial transaction postings for one co. code or
for all co. codes.
e. 2an- master data for &endor can only be created #ith in customi.ing.
14. "hich of the follo#ing statement about one time account are correct.
a. Must use account group defined for one time &endor.
b. ,ne time account group must use defined number range.
19. "hich of the follo#ing about &endor transaction is correct. (Multi)
a. Aendor do#n payment is sho#n on balance sheet under normal reconciliation
account for payables.
b. +pecial gl transaction is one' #hich is included in spl purpose ledger under coding
bloc- in G! account.
c. A &endor do#n payment re(uest cannot be included in payment program to produce
do#n payment
Page 3 of 11
Financial Accounting-Topic Wise Questions
d. A &endor do#n payment re(uest is a noted item.
e. A &endor do#n payment is cleared after final in&oice is recei&ed from &endor.
1;. "hich is correct.
a. Customer master is di&ided only by client le&el : co. code le&el.
b. %n case of one time customer C customer address in entry.
20. "hich is correct.
a. %f a customer is also a &endor system includes outstanding account recei&ables
in&oice items in the payment program.
b. %f a customer is also a &endor system includes outstanding account recei&ables
in&oice items in the clearing.
21. "hich of the follo#ing statement affect creating customer master records are correct.
a. An account group gets assigned to customer
b. Co. code is al#ays a re(d entry.
c. Account number may be assigned e)ternally.
Automatic 7ayment 7rogram
22. "hich of the 8ollo#ing statements about automatic payment are correct $
a. %n automatic payment procedures' all incoming in&oices as of the second dunning
le&el are paid automatically
b. 5irect debiting or ban- collection can be used in automatic payment procedures to
clear customer in&oices
c. ,pen items posted to G! accounts can be cleared using the payment program
d. +pecial G! transactions(do#n payment)can be posted using the payment program
e. The payment program can pay &endor in&oices using #ire transfers and chec-s

2*. %magine the follo#ing scenarioD
A company #ants to e)ecute a payment run on a daily basis and process se&eral company
codes at the same time. %f the amount e)ceeds E+F 1000' the &endors are to be paid by ban-
transfer' amounts less than E+F 1000 are to be paid by chec-. The customer has t#o house
ban-s and #ants all chec-s to be processed by ban- A and all
a. Bou store &ariants for print programs #ithin customi.ing. <ere you can specify that
the information is to be output to a data carrier. (8110 and not in 82G7)
b. Bou specify' per house ban-' #hether payments are to be made by chec- only or also
by transfer
c. Bou specify the payment method from #ithin the application'in the master record
d. The payment proposal of the automatic payment program can only be displayed
e. Bou can precisely schedule the print program from #ithin the application

2/. According th #hich criteria does the payment program determine and select open itemsD
a. posting date and baseline date
b. document date and posting date
c. baseline date and payment terms
d. posting date and cash discount periods
e. posting date and payment terms

20. "hich of the follo#ing statements are true #ith regard to the customi.ing setting for ban-s in
the automatic payment run $
a. The se(uence of the ban-s for processing outgoing payments is selected randomly
b. Bou can only determine one payment method per house ban-
c. Bou can select se&eral payment methods per country
Page 4 of 11
Financial Accounting-Topic Wise Questions
d. Bou can specify by ban- and method the anticipated number of days before the ban-
account is debited
e. Bou can determine the ban-s to be used for payments according to postal code

23. "hich of the follo#ing factors does the systems ta-e into account in a payment run $
a. 8iscal year &ariant
b. 7ayment method specifications in the %MG
c. +pecifications in the &endor master records
d. %nformation in the documents(incoming in&oices)
e. +pecifications made #hen maintaining the payment run parameters
24. %dentify the correct statement(s). (Multi)
a. The &endor master record is di&ided into three different data areas= General data'
Accounting data and 7urchasing data.
b. "hen the goods receipt is posted' the system automatically updates the general
!edger accounts by the &alue of the goods receipt. %t is also possible to include an
additional account assignment obHect such as cost center' order or asset.
c. MM and 8% set up and use different account groups for their respecti&e &ie# of the
&endor master record.
d. The account group determines the number inter&al for assigning the account Iumber
to the &endor' #hether or not the number in internally or e)ternally Assigned' and
#hat fields are mandatory' suppressed' displayed and optional
e. A purchase re(uisition is a binding contract #ith a &endor to supply certain materials
or +er&ices based on certain terms and conditions.
29. +uppose that one company is used as both a &endor and a customer. "hich of the follo#ing
statements are correct regarding creating lin-ed customer and &endor master records for this
company$ (Multi)
a. ,nly one business partner master record is created' #ith client le&el' purchasing'
sales' And accounting data. This pre&ents the creation of redundant master data.
b. %f the master records are lin-ed correctly. The &endor and the customer line items #ill
be posted to the same reconciliation account.
c. The corresponding &endor master number must be entered in the client le&el of the
customer master record and &ice &ersa.
d. The &endor and customer records that are to be lin-ed may ha&e different account
numbers.
e. ,nce properly lin-ed' sales in&oices and purchase in&oices for this company #ill
automatically clear against each other.
2;. "hich of the follo#ing statements about transactions are correct$ (Multi)
a. An in&oice may be par-ed by an accounts cler- and a #or-flo# message sent
Automatically to the super&isor.
b. Credit memos can be included in the payment program to reduce the final in&oice
Aalue paid.
c. A par-ed in&oice has a temporary document number assigned by the user.
d. An in&oice #hich has been cleared by the payment program can only be re&ersed
After the cleared line items ha&e been reset.
e. An indi&idual che(ue cannot be printed automatically #hen you manually post an
,utgoing payment.
*0. "hich of the follo#ing statements about one time accounts are correct$ (Multi)
Page 5 of 11
Financial Accounting-Topic Wise Questions
a. ,ne time accounts must use an account group #hich has been defined specifically
for one time accounts.
b. A one time account group must use a different number range from all other account
Groups.
c. The &endorJs name and address are not held in the one time account master record.
d. Credit memos cannot be created for a one time &endor account.
e. Bou cannot change a one time account master record once it has been created.
*1. 2et#een #hich functions in the 8%6MM module does a direct relationship e)ist$ (Multi)
a. 1e(uirement planning6 %n&oice Aerification
b. %n&oice &erification6 Account 7ayable.
c. %n&entory Audit6 %n&oice Aerification.
d. 7urchasing C %n&oice Aerification.
e. Goods issue to a production order C G! account.
2an-
*2. "hich of the follo#ing statements are correct $
a. "hen creating a <ouse ban-' you do not need to specify the country.
b. The payments program can use a different <ouse ban- for each different payment
method
c. A <ouse ban- account can be defined in more than one currency
d. <ouse ban- master data must be created in ad&ance' before assigning the <ouse
ban- to a payment method in the payment program configuration
e. A house ban- can be assigned to a business area #ithin the payment program
configuration
**. %n a 7ayment method definition
a. 5efine a ma)imum and min payment
b. 5efine house ban- lin-
c. 5efine allo#ed currency for company code
d. 5efine allo#ed currency for country le&el
*/. "hich of the follo#ing statements about <ouse ban-s are correct.
a. <ouse ban- is lin-ed in all 8% Accounting masters
b. <ouse ban- Account %5 is lin-ed in all 8% accounting masters
c. <ouse 2an- currency is controlled by Aendor master
d. Aendor Master currency controls A7 payment
e. 7ayment method currency alone controls <ouse 2an- account %5 postings to G!

*0. "hich of the follo#ing statements about creating customer master records are correct$
a. An account group al#ays gets assigned to a customer.
b. The company code is al#ays a re(uired entry.
c. The account number may be assigned by the user e)ternally.
d. %nformation on each screen may be defined in configuration as mandatory'
suppressed or optional' depending upon the account group.
e. %nformation on each screen may be defined in configuration as mandatory'
suppressed or optional' depending upon the company code.
*3 . "hich of the follo#ing order types are internal orders$
a. Capital in&estment orders for creating assets.
b. Maintenance orders.
c. +ales orders for ma-e6to6order function
d. C, production orders.

Page 6 of 11
Financial Accounting-Topic Wise Questions
*4. "hich of the follo#ing statements are correct regarding %nternal ,rders$
a. ,nce an order has been released' only closing entries can be made.
b. Transactions can be allo#ed or disallo#ed depending in the order status.
c. Additional order status categories can be created in the order master.
>n&ironment
*9 That system tool allo#s you to add graphics' re6arrange fields' add pushbuttons and change
input fields into radio buttons$
a. GuiKT
b. GuiCapture
c. +A7Gui
d. +A7+ho#
e. 7rofile Generator

*9 "hich of the follo#ing can you add to a 8a&orites list$
a. 8iles
b. Transactions
c. "eb address
d. 1eports
e. Eser menus
/0 The date format can be defined by the follo#ingD
a. Country
b. +ystem.
c. Eser.
d. Company
e. 7lant
Closing
/1 "hich of the follo#ing statements regarding year6end closing are correct$
a. The balance carry for#ard program can be run at any time during the fiscal year.
b. The system creates the balance carried for#ard for e&ery balance sheet account for
ne# fiscal year.
c. The p:l accounts balance is transferred to a 1etained >arnings account. Bou
determine the retained earning account as part of the selection criteria #hen
e)ecuting the 2alance Carry 8or#ard program.
d. 7osting during the 2alance Carry for#ard program is possible.
Currency
/2. The en entering a document using a foreign currency' #hich date is used to determine the
e)change rate if the translation date is not entered $
a. 7osting date
b. 5ocument date
c. 2aseline date
d. >ntry date
/*. "hich type of currency #ill 1* al#ays trac- #hen posting a document$ (+ingle)
a. !ocal currency
b Group currency
c Transaction currency
d Group : transaction currency
Page 7 of 11
Financial Accounting-Topic Wise Questions
e !ocal : transaction currency.
7osting 7eriod
//. "here are posting periods defined$
a. 7osting period &ariant.
b. 8iscal year &ariant.
c. 8ield status &ariant.
d. Closing period &ariant
5ocument Control
/0 "hich of the follo#ing statements supports the re&ersal of a document$
a. The original document contains no cleared line items.
b. 5ocuments originating in other modules should be corrected there to allo# the
changes to flo# naturally through to financial accounting.
c. %f a re&ersal date is not specified' the system re&erses the document using the
posting date of the document to be re&ersed.
d. A ne# document number is created for the re&ersal document.

/3 Choose the correct statements regarding recurring documents.
a. "hen creating a recurring document' the &alid time period must be defined.
b. The posting date is determined by either the run date or the run schedule.
c. 8ield &alues can be changed in recurring document.
d. After running the recurring document posting' the ne)t run date cannot be
displayed.
e. The original recurring document can be deleted from the batch input menu.
/4. bul- change of line item 6 this function allo#s you to change a #hole group of line items
simultaneously' instead of ha&ing to change indi&idual items in the documents. "hat data
can you change using this function$
a. The reconciliation account
b. The company code
c. The payment terms and payment bloc-
d. The house ban- and payment method
/9. #hich of the follo#ing statements are correct$?mul@
a. 7osting -eys are used to define the screen layout for document entry and
ta-e priority o&er other field status groups.
b. Aalidations and substitutions can be carried out in 8% but not in the +pecial
7urpose !edger
c. The main purpose of a payment ad&ice note is that it can be used to
automatically search for and then compare open items as part of the clearing
process' thus eliminating the need to ma-e indi&idual selection entries.
d. T#o of the currencies a&ailable in the 8% system are the transaction currency
and the company code currency' these are defined at country le&el #ithin
configuration.
/;. "hich of the follo#ing statements in correct$?single@
a. The field status definition controls the 5ocument type' 7osting -ey and
Account number.
b. The documents number assignment can be controlled using the Account
type.
c. The ta) rates and ta) codes for the &arious countries are predefined by +A7.
Page 8 of 11
Financial Accounting-Topic Wise Questions
d. The field status definitions determine the screen layout' #hen you enter a
document using the rele&ant G! account.
e. The document type controls #hich company code is used in a G! posting.
00. "hat controls #hether a line item is a debit or credit and specifies the type of account for a
line item. (+ingle)
a. 7osting -ey.
b. 5ocument type
c. Account group
d. 8ield status
01. "hat controls the number assignment assigned to a financial document in 1* (single).
a. The number range assigned to the account group.
b. The number range assigned to the document type
c. The number range assigned to the 7osting -ey
d. The field status group
02. Closing of period is controlled by. (+ingle).
a. 7osting 7eriod &ariant.
b. 8iscal year &ariant.
c. 8ield status &ariant.
d. Closing period &ariant.
0*. "here are the posting period defined. (+ingle)
a. 7osting period &ariant.
b. 8iscal year &ariant.
c. 8ield status &ariant
d. Closing period &ariant
0/. "hat is the difference bet#een distribution and assessments$
a. 5istribution can be made for both planned and actual figures= assessments
cannot.
b. 5istributions can be made using statistical -ey figures= assessments cannot.
c. 5istributions are used #hen the original cost information is necessary on the
recei&er= assessments are used #hen this information is not necessary on
the recei&er.
d. 5istributions are made using the original primary cost elements=
assessments are made using secondary cost elements.
00. ,ut of the follo#ing select the right ans#ers
a. Cost element category controls 8% posting only.
b. Cost element is a must for all G! accounts
c. All 7:! G! accounts e)cept ta) accounts should be cost element.
d. All cost elements are lin-ed to Acti&ity type.
03. Acti&ity types can be
a. restricted for a single cost center directly
b. created for a restricted period only
c. created #ith primary cost element assignment
d. All acti&ity types are used in Cost center planning #ithout any restriction.
e. 7lanning of price is done for a acti&ity for all cost centers
Page 9 of 11
Financial Accounting-Topic Wise Questions
04. +elect out of the follo#ing #hich statements are correct.
a. Cost center can be defaulted in all 8% line items in all G! accounts
b. %nternal order can be defaulted in all 8% line items in all G! accounts
c. Cost center can be defaulted in G! accounts pro&ided it is assigned
to company code.
d. Cost center is lin-ed to company code as Chart of accounts is lin-ed
to the same company code.
e. Time dependant data is possible in Cost center' cost element'
Acti&ity type and +L8s
1eports
09. "hich of the follo#ing statements about financial reporting are correct$
a. A financial statement &ersion displays either a balance sheet or a profit and
lost statement' not both.
b. "hen displaying a financial statement' the system can automatically
calculate the profit and loss statement result.
c. Bou can obtain a summari.ed financial statement for any hierarchy le&el
defined in the financial statement &ersion.
d. The system can translate a financial statement into any currency for reporting
purposes.
e. A financial statement &ersion cannot include more than one company code'
unless you are using 8%6!C
General !edger Account
0;. An account group.?mul@
a. 5efines the number range for a mater record.
b. Eses a field status group to control the field layout for the maintenance of mater
records.
c. 5etermines one6time accounts for accounts payable and accounts recei&able.
d. %s defined for e&ery company code.

30. Bou ha&e se&eral options for creating G! accounts . "hich of the follo#ing statements are
corrent$?mul@
a. Bou can create a G! account in a company code #ithout using a sample
account.
b. Bou can create a G! account in chart of accounts.
c. Bou can create a G! account in a company code using a samples account.
d. Bou can create a G! in a controlling area if you specify the chart of accounts
and the company code.
e. Bou can create a G! account #hen settling an order.

31. "hich of the follo#ing statements are correct regarding open item management$?mul@
a. %n order to manage line items as open and cleared for &enders and customers
the open item managementMN %ndicator must be on in the reconciliation account
master record.
b. Aendor and customer account are al#ays open item management accounts.
c. %n order to be able to manage line items as open and cleared' the line item
display indicator must be on in the G! account mater record.
d. % order to be able to manage line item as open and cleared' the open item
management indicator must be on in the G! account master record.
Page 10 of 11
Financial Accounting-Topic Wise Questions
e. %n order to be able to manage line items as open and cleared' the sort -ey must
be defined as the document number.
32. "hen you create a G! account the follo#ing entries must al#ays be assigned to the account
a. Account Group.
b. 2alance sheet ac or 7:l ac : 7:! statement type.
c. +hort te)t.
d. +ample account number
e. Consolidation trading partner.
3*. "hich of the follo#ing are trueD
a. Multiple currencies can be assigned in G! master record to facilitate reporting.
b. Ley #ords may be input as search criteria on a G! master for use #ith only one
Co. code
c. A G! account #ill ha&e the changes made to it if any trac-ed in a separate data
base.
d. All G! 2alance +heet accounts are mar-ed #ith Account type 2.
3/. The primary cost element is one type of master data in Controlling. 2efore you can create a
ne# primary cost element' certain prere(uisites need to be fulfilled "hich of the follo#ing
conditions must be fulfilled 2>8,1> you can create primary cost elements$ (*462)
a. The controlling area must be defined.
b. The cost center must be defined.
c. The G! account must be defined.
d. The plant must be in the system.
e. The business areas ha&e been defined.
Page 11 of 11