1. What is document type, and what does it control? Example.

Ans: Document type means it is used to differentiate the business transaction to be posted on the
document header for Ex: Customer Invoice (DR), Vendor payments (KZ), General Ledger (SA), Vendor
Invoice (KR), Customer Payment (DZ) etc.
The Document type it controls the Number ranges & Account groups and the Document type is a
client level.

2. How are revenues defaults with cost center accounting?

Ans: The revenue line item of the document needs to be populated with just the PC which is derived
from the material (This is how it working currently. And freight and handling is also populating this PC
right now. But we need to change freight and handling to post to two different cost center/profit
centers.

3. What is field status group, what does it controls?

Ans: Fields status groups are being defined to display various fields for posting business transaction as
appropriate documents for General Ledger Accounts.
FSG is used to control the document entry by defining fields selections and document types as
suitable.

4. What is the T-code for uploading the bulk vendor master data?
Ans: Generally companies will use importing tools like LSMW, BDC.

5. What is activity type?

Ans: SAP activity type is the classification of activities that are produced in cost centers in a controlling
area. It is an organization unit within a controlling area. SAP activity types are used to allocate internal
activities cost which are incurred by specific cost center.

6. What is Born on Sale?

Ans: Born in sale means-Discount sale and Discounts are born in sale.

7. Disadvantages of Distribution in Controlling?

Ans: 1. probably, the largest impediment to most service chains is that the company must bear all the
financial risks. While expanding, the company must mobilize all the capital required for store
proliferation, advertising, service quality or new service developments.

2. Companies rarely enjoy expertise in local markets. When companies expand into other unfamiliar
regions or other countries, they are not able to adapt their business formats to suit local needs. In
such situations, joint venturing is preferable.

3. When two or more companies want to offer a service and neither has the full financial capability
and expertise, they undertake service partnerships. Partnerships are common in areas such as
telecommunication, high-technology areas, internet-based services and entrepreneurial services.
8. How do you calculate balance interest calculation in GL?
Ans: Interest Calculations are Two Types: ---
a)Balance Interest Calculation.
b)Item Interest or Interest On Arrears Calculation.

a)Balance Interest Calculation.:---

is a calculation of Interest on total balance of an account or total balance of customer account. it is
represented in "s".
The configuration steps for calculation of balance interest calculation are: ---
 define interest calculation type (ob46)
 prepare account balance interest calculation (obaa)
 define reference interest rates (obac)
 define time dependent terms (ob81)
 define or specify interest rates (ob83)
 prepare gl account balance interest calculation (obv2)
 assign this interst calculation indicator in
 specified gl account master record
 run interest programm (f.52)

9. Posting keys has given more than 1 for other than GL accounts . why they have given like that?
Ans: Posting keys controls the line item level in a document screen. Posting keys serve three main
functions in SAP accounting
 Posting keys control as to which type of account the line item in the document will be posted
to.
 Secondly, posting keys control whether the line item will be posted as a debit or a credit.
 Lastly, posting keys help in determining field statuses for additional details.
Posting keys even though applicable to line items are defined at the client level. SAP standard
transactions come pre-defined with posting keys which can either be debit or credit. SAP R/3 FI comes
pre delivered with the following default posting key values. These posting key values depend upon the
area in SAP FI.
 General Ledger Transactions - "Debit" is posting key 40 and "Credit" is posting key 50.
 Customer Invoices - "Debit" is posting key 01 and "Credit" is posting key 50.
 Vendor Invoices - "Debit" is posting key 40 and "Credit" is posting key 31.

10. Without invoice creation can we delivery the stock to Customer. If Yes - How, What is the
process. (When the credit limit exceeds)?
Ans: Yes we can process
Invoice creation and delivery to customer are two different processes in SAP and generally delivery is
created first (by creating a delivery order and by doing a PGI. Subsequently the invoice is created.
If the credit limit exceeds, SAP provides the facility to release the respective order independently and
normally done by the credit department/in charge.
11. Periodic Processing in controlling?
Ans: Periodic processing comprises the tasks that must be performed at periodic intervals. Since only
the values from one depreciation area can be automatically posted online in Financial Accounting.

12. What are the month end activates for a consultant which end user cannot do?
Ans: Month end activities are :-
 Update Exchange Rates
 Gaps in Document Number Assignment
 Invoice Numbers Allocated Twice
 Open and Close Posting Periods
 Enter Recurring Entries
 Post Recurring Entries
 Run Batch Input Session
 Automatic Clearing of GR/ IR Account special process
 Analyze GR/ IR Clearing Accounts
 Automatic Clearing of GR/ IR Account
 Post Adjustment Entries
 Foreign Currency Revaluation
 Post Tax Payable
 Record of sales and Use Tax Report
 Comparison Documents/ Transaction Figures
 Close Previous Accounting Period
 Balance Interest Calculation
 Display Document Journal
 Financial Statement

13. How many profit centers can be assigned in a cost center?

Ans: one cost center can be assigned to a single Profit center and one Profit center may be assigned to
multiple cost centers.

15. What is a/c type? What r they? Where we use it? Where can we find it after that?
Ans: Account types are used to differentiate the documents and it is useful to identify the type of
documents.
The account types are
GL A/c(S)
Vendor (K)
Customer (D)
Asset (A)
Material (M)
In each account type there are number of document types are Ex: account type document type
1) GL A/c – SA, AB
2) Vendor – KA, KZ, KR
3) Customer – DR, DZ, DA
 4) Asset - AA, AF
5) Material - WE, WR

16. What is the purpose to have country COA, if a company code already have operational COA?
What are the different types of legal requirement a company can have? Explain with examples.
Ans: In SAP, a Chart of Account or COA is defined at the client level. After creating, it has to be
assigned to a company code. To have a better control in SAP, general ledger Accounts are grouped
under a chart of account. This will help to develop different financial statements for legal reporting.
Every company code has to be assigned to an operating COA. Company code under one controlling
area should have the same operating chart of account otherwise you cannot assign company codes to
controlling area.

17. What is BEX Analyzer and what is it used for in FICO module?

Ans: SAP BEx Analyzer is a Microsoft Excel based tool that is primarily used for analysis and reporting.
Simply put, the data is shown in Microsoft Excel workbooks and these workbooks allow you to do drill-
down and filtering using OLAP functions of SAP BW.

18. What is the data associated while uploading data using LSMW?
Ans: Both the Transaction Data and Master Data can be uploaded from LSMW, for Eg, Customer
balances, Vendor Balances, GL Balances and Customer, Vendor, GL, material and Asset master data.

19. What is Withholding Tax and Extended withholding TAX? Explain

Ans: Withholding tax: Tax that is charged at the beginning of the payment flow in some countries.
Usually, the party that is subject to tax does not pay the withholding tax over to the tax authorities
himself.
Extended withholding tax: With extended withholding tax, you can process withholding tax from both
the vendor and customer view.
Withholding tax is deducted only at the time of payment. Extended w/t is deducted at the time of
booking of invoice or booking of document whichever is earlier is applicable. if wrong plz correct me.

20. I wish to know the total procedure that we follow for support project. i.e. how we get the
tickets and how we will send back to the client and the tool we use . ? And what is mainly difference
between 4.7 Ecc and 6.0 ecc and what does ecc mean?
Ans: In support project you solve real time production issues. You use different tools like REMEDY,
RADIX, CLARIFY or any other customized tools in a support project.
Whatever the tool you are using, the basics are the same. Every tool has login id & password like your
mail box.
Once you login into the support tool, you will find all the tickets. It is similar to how your mails look in
the mail box.
Every ticket will have the details like the date the ticket logged in, description, status, SLA etc.
It depends from the company to company how the tickets are assigned to the support consultants. In
some companies business will setup the IT help desk to log the calls / tickets. When the user logs the
calls, it automatically gets assigned to the concerned buckets. For Eg SD tickets will flow into the SD
buckets & MM into MM buckets. In some companies the tickets are routed through the support
project manager. He will in turn assign the ticket to the consultants.
In whatever case, once a ticket gets assigned to you, it will have OPEN status. Then you will change
the status to ASSIGNED giving you details like name & ID. Then you communicate with the user that
the ticket is assigned to you by mail or telephone. You will get clarifications of the issue in detail.
For the tickets you already know the issue, you will start working. Then you will change the status to
IN PROGRESS / ANALYSING. During that time you either make config changes or ABAP development.
Once you finish the changes in DEV server, you will do the unit testing & move the changes into TEST
server. Then you will change the status to RESOLVED. User will perform the testing & give his signoff
(approval) for the changes. Then you will move the changes into PROD server & change the status to
CLOSED.