SAP SIMPLE FINANCE - GENERAL LEDGER

Keeping timely and accurate accounting records that provide a clear picture of the financial
health of the business determines whether a business meets its objectives (Ankrah et al., 2015).
Businesses can provide an accurate record of all their transactions by the use of a General Ledger. It is a
set of numerical accounts that businesses use to record their financial transactions and prepare financial
statements. The general ledger allows business owners to see every transaction for the month, quarter,
or year in detail. It provides a record of each economic transaction that occurs throughout the course of
an operational company's business existence and gathers account information needed to create the
company's financial statements.

Companies stored different transactions from their operations, and as they continue their
operation more and more transactions must be recorded. To simplify this, users can use the app Display
G/L Account Balances in SAP Fiori Launchpad. I learned that it will become easy for the user to present
data in multiple currencies for the cross-fiscal year and compare the balances as well as the credit and
debit amounts in a fiscal year. Users can export the list to a CSV file or compare the statistics for the
current fiscal year to past fiscal years. Also, using the app Display G/L Account Line Items, users can
check the G/L Account line items. There are also other functions that can use such as SAP Simple Finance
on creating primary costs (personal cost, materials cost, etc.) and secondary costs which is a method of
allocating expenses for internal activities. Moreover, I learned that I can use SAP to create multiple
ledgers in parallel. There are two types of the ledger in SAP Simple Finance systems Leading Ledger
which is integrated into all company codes and linked with all subsidiary ledgers and the Non-leading
ledger which is used to maintain records using accounting principles apart from those of the group. On
the other hand, asset accounting is used for fixed asset management and supervision.

Through this lesson, I learned different procedures that can use in the SAP Fiori. The G/L
Accounting is vital for an organization to keep its record on track and can provide details about the
company’s performance and Asset Accounting transmits data directly between systems. With the help
of this lesson, I will utilize my gained knowledge by applying what I learned from this lesson to my work
in the future. Since I’m rooting for the field of accountancy which is a very concern in this field, I believe
that I can apply practice what I learned from this lesson.

Reference

Ankrah, E., Mensah, C. C. Y., & Ofori-Atta K. (2015). The Relevance of Accounting Information in the
Management of Small Scale Businesses in the Yilo Krobo District in Ghana. European Journal of Business
and Management, Vol.7, ISSN 2222-1905 (Paper) ISSN 2222-2839, No.8.

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