SIA FINALS

• This module is part of the SAP Finance.

• is an independent module, often called SAP FICO or SAP Financial Accounting and Controlling.

• provides an organization with a method of slicing and dicing data to view costs from an internal management perspective and give a view of profitability beyond basic financial reporting.

SAP CONTROLLING (CO)

• also called Managerial Accounting, is designed to collect transactional data that provides a foundation for preparing internal reports that support decision-making within the enterprise.

CONTROLLING

The target audience for this SAP module (SAP Controlling (CO)) includes

executives, senior management, department managers, controllers, and cost accountants.

The CO organizational structure serves the following goals:

• Represent the legal and/or organizational views of an enterprise;

• Form a framework that supports business activities in the manner desired by management;

• Permit accurate and organized collection of business information;

• Support the development and presentation of relevant information to enable and support business decisions

an independent environment in the system.

CLIENT

the smallest organizational unit where a legal set of books can be maintained. As the law requires, a balanced set of books are prepared at this level.

COMPANY CODE

• a self-contained unit for which revenues and expenses can be managed.

• It may include more than one (1) company code, making an enterprise perform management accounting analyses and reports across several companies.

• It also identifies and tracks where revenues and costs are incurred for evaluation.

CONTROLLING AREA

• represents a part of an organization for which the sales market is structured uniformly.

• An operating profit for individual market segments can be calculated in this unit.

• Additionally, multiple controlling areas can be assigned to one operating concern.

OPERATING CONCERN

• It is responsible for revenue generation and cost containment. It is evaluated on profit or return on investment.

• They commonly divide enterprises based on region, function, and product.

PROFIT CENTER

• It is responsible for cost containment but not for revenue generation.

• One or more value-added activities are performed within each cost center.

• Additionally, it is a unit that is distinguished, for example, by area of responsibility, location, or type of activity, such as a copy center, security department, or maintenance department.

COST CENTER

• It is a temporary cost collector responsible for cost containment but not for revenue generation.

• It is used to plan, collect, and monitor the costs associated with a distinct short-term event, activity, or project, such as a company picnic, trade show, or recruiting campaign.

INTERNAL ORDER

• A one-to-one linkage or mapping between General Ledger revenue accounts and CO revenue elements is established to allow the transfer of SAP Financial Accounting (FI) __________ to CO.

• Postings in FI that impact revenue accounts lead to a posting in CO to a revenue element, which means the revenue account equals the revenue element—just different words depending on whether FI or CO objects.

REVENUE ELEMENT

• A one-to-one linkage or mapping between General Ledger expense accounts and CO cost elements is established to allow the transfer of SAP Financial Accounting (FI) _____________________ to CO.

• Postings in FI that impact cost accounts lead to a posting in CO to a cost element, which means the expense account equals the cost element. Again, just different words depending on whether FI or CO object.

COST ELEMENT

originates in the General Ledger within FI and is automatically transferred to CO when an FI transaction is recorded in the General Ledger.

PRIMARY COST ELEMENT

is used exclusively in CO for allocations and settlements between and amongst cost centers.

SECONDARY COST ELEMENT

arise through the consumption of production factors that are sourced externally.

PRIMARY COST ELEMENTS

• arise through the consumption of production factors that are provided internally.

• are used exclusively in CO to identify internal cost flows such as assessments or settlements. They do not have corresponding General Ledger Accounts in FI and are defined in CO only.

SECONDARY COST ELEMENTS

________________ and _______________ in Financial Accounting correspond to Primary Cost and Revenue Elements.

EXPENSES AND REVENUE ACCOUNTS

When creating a cost element, ______________ must be assigned. This assignment determines the transactions for which the cost element can be used.

COST ELEMENT CATEGORY

• These provide the foundation for accurate and effective cost allocation between cost objectives.

• It is utilized to support internal cost allocations involving allocations, assessments, and distributions such as the number of employees, square footage, and minutes of computer usage.

STATISTICAL KEY FIGURES

CO Processes include two (2) different types of allocation:

DISTRIBUTION AND ASSESSMENT

is a method for periodically allocating primary cost elements. The primary cost elements maintain their identities in sending and receiving objects.

DISTRIBUTION

It is a method for allocating both primary and secondary cost elements. The primary and/or cost elements are grouped and transferred to receiver cost centers using a secondary cost element.

ASSESSMENT

Part of the SAP FI Chart of Accounts is managed in _________ master data.

GENERAL LEDGER (G/L) ACCOUNT

Transactions KA01, KA02, KA03, and KA06 are?

NO LONGER AVAILABLE

will be transferred from the cost element master to table TKA3A, which can be viewed using transaction OKB9.

DEFAULT ACCOUNT ASSIGNMENTS

includes a new mandatory field for the cost element category, classifying G/L accounts previously in transaction KA01.

G/L ACCOUNT MASTER RECORD

G/L accounts now have attributed on three (3) levels:

• CHART OF ACCOUNTS AREA

• COMPANY-CODE-SPECIFIC AREA

• CONTROLLING-AREA-SPECIFIC AREA

New account types for?

primary costs/revenues and secondary costs

are recorded under G/L accounts (secondary and primary costs)

JOURNAL ENTRIES

combines account assignments of Controlling (cost center, WBS element), Profitability Analysis (products, customer), and Enterprise Controlling (profit center)

UNIVERSAL JOURNAL

Other advantages of Universal Journal innovation include:

• No need for coordination between accounts;

• Significantly reduced memory requirements;

• Harmonized external and internal accounting;

• Flexible and multi-dimensional real-time analyses can be executed directly from the Universal Journal without data replication into Business Intelligence (BI).

The use of the ____________ is now obligatory and automatically active in all SAP S/4HANA systems.

MATERIAL LEDGER (ML)

It fulfills two (2) basic objectives:

• The ability to manage material prices in multiple currencies/valuations.

• Actual Costing

Material inventory values are usually managed by the system in only one (1) currency –?

COMPANY CODE CURRENCY

allows the system to manage inventory values in additional currencies/valuations by updating all goods movements in the material ledger. Currency amounts are translated into foreign currencies at historical exchange rates directly at the time of posting.

MATERIAL LEDGER

• to determine exact costs for externally procured materials and materials produced inhouse.

• uses actual costs to evaluate inventories of raw materials, semi-finished, and finished products. In addition, actual costing calculates an exact price for each material, into which all actual costs for the particular period flow.

ACTUAL COSTING

For this innovation, it is no longer allowed to use an ML type that references currency settings defined in FI or CO.

Material Ledger (ML)

replaces CKM3/CKM3N. All views these two (2) offer are no longer available, except the CKM3 Price History view. This innovation provides an improved view of materials in plants with active actual costing.

Transaction CKM3PH (Price Determination Structure)