sap fico online training: What is Client in SAP

sap fico online training: What is Client in SAP: What is the Client? The Client is a ‘Customer’. We can say that each customer maps to one client. Within one SAP instance, a number of Cli...

sap fico online training: What is Cost Element Accounting

sap fico online training: What is Cost Element Accounting: COST ELEMENT ACCOUNTING Creation of primary and secondary cost elements (Automatic Creation) Cost Element Accounting is the are...

What is Cost Element Accounting

COST ELEMENT ACCOUNTING

Creation of primary and secondary cost elements (Automatic Creation)

Cost Element Accounting is the area of cost accounting where you track and structure the costs incurred during a settlement period. It is thus not an accounting system as such, but rather a detailed recording of data that forms the basis for cost accounting.

In an integrated accounting system such as the SAP system, you do not need to enter cost data separately. This is because each business transaction that involves costs updates the CO component with detailed information on the cost element and on the account assignment object itself. Each consumption transaction in Material Management (MM), each billing in Sales and Distribution (SD) (= revenue), and each external transaction for invoice verification flows directly through the G/L Account (= cost element) to the corresponding account assignment object.

Cost elements classify an organization’s valuated consumption of production factors within a controlling area. A cost element corresponds to a cost-relevant item in the chart of accounts.
We distinguish between primary cost and revenue elements and secondary cost elements.
Primary Cost/Revenue Elements: A primary cost or revenue element is a cost or revenue-relevant item in the chart of accounts, for which a corresponding general ledger (G/L) account exists in Financial Accounting (FI). You can only create the cost or revenue element if you have first defined it as a G/L account in the chart of accounts and created it as an account in Financial Accounting. The SAP System checks whether a corresponding account exists in Financial Accounting.
Examples of primary cost elements include:

· Material costs

· Personnel costs

· Energy costs

Secondary Cost Elements: Secondary cost elements can only be created and administrated in cost accounting (CO). They portray internal value flows, such as those found in internal activity allocation, overhead calculations and settlement transactions.
When you create a secondary cost element, the SAP System checks whether a corresponding account already exists in Financial Accounting. If one exists, you can not create the secondary cost element in cost accounting.
Examples of secondary cost elements include:

· Assessment cost elements

· Cost elements for Internal Activity Allocation

· Cost elements for Order Settlement

Cost elements in Controlling (CO) are closely related to the general ledger accounts used in Financial Accounting (FI). This is because the SAP System is structured as an Integrated Accounting System:

What is Client in SAP

What is the Client?
The Client is a ‘Customer’. We can say that each customer maps to one client. Within one SAP instance, a number of Clients can be created. No need to install separate software’s for each and every customer.It provides isolation ,one client cannot see the data of other client.
What is Client ? How to Create a New Client in SAP basis
As depicted above 100 and 200 clients exist under one roof. We can create a number of clients in SAP Application (from 000 to 999)
What does client contain?

    Application Data- Application data is the data that are stored in the database tables.
    Customizing Data – Customizing data is data created by customers when they customize their systems
    User Master Record- A user master record defines the authorizations assigned to a user. Basis consultants are responsible for maintaining the user master record and assigning authorizations.

Advantages of Client concept :-

    Clients enable SAP SAS providers to install a small number of SAP Systems, but still cater to a large number of customers.
    Costs are not only saved by sharing hardware and software but multiple customers also use the same application solution, including administration and support.
    Clients help establish your SAP landscape. For instance , you can have a client for the development team , a client for a test team and a production client.

SAP comes with three “standard clients” :-

    000
    001
    066

000 Client :- We can find this client in the system as soon as we install SAP r/3 software. This is called master client. Client 000 contains a simple organizational structure of a test company and includes parameters for all applications, standard settings, and configurations for the control of standard transactions and examples to be used in many different profiles of the business applications. It contains client independent data.
001 Client :- This client is a copy of the 000 client including the test company. This client’s settings are client-independent if it is configured or customized. People normally use 001 client to create a new client.
066 Client :- This client is called early watch client. The SAP earlywatch alert is a diagnosis service, for solution monitoring of SAP and non-SAP systems in the SAP Solution Manager. Alert may contain Performance issue, average response time, current system load, Database administration,etc..

SAP Server Architecture

SAP Server Architecture

There are 3 types of Servers in SAP Architecture. They are:

1.Application Servers

2.Database Servers

3.Presentation Servers (also known as “Client system”)

Application Server: Component containing the SAP Software is known as Application Server.

Database Server: Component containing the database (Master data as well as transaction data) is known as Database Server.

Presentation Server: Component containing the Front end tool / Graphical User Interface which facilitates the user in interacting with the Application Server, is called Presentation Server or Client.

SAP FICO Interview Questions

SAp FICO Interview questions

Technical interview -I
• What do understand by intercompany posting? we need to assign Company with respect to company Code.
• What is the use Charts of deprecation? Its country specific or company code Specific?
• Do you have any idea of installment payment?
• Where we maintain Exchange rate, it is Client dependent or company Code dependent?
• Can we have Customer as vendor and Vendor as Customer?
• How you are going to handle bad debts in Sap?
• What is group Charts of Accounts in SAP ?
• What is difference between in Mc.9 vs MB5B
• What is clearing account in Bank ?
• What you understand by next payment run date?
• How stock write of take place in SAP?
• What are Depreciation and COGS entries in SAP ?
• What you understand deferred Tax ?
• Head office and branch office transaction?
• What you understand mark for deletion GL and Blocked GL?

Technical interview –II
• How flexible you are ?
• Which ticketing tool you are using?
• Do you have an idea about SLV?
• What is difference between workbench and Customized Request?
• Wat you understand by r.e.c.e.f?
• How you handle change request in SAP?
• Idea about System landscape?
• Any idea about badi , bapi and lsmw in SAP
• What do you understand by user exit?

Managerial round for Skill Sets-III
• Since how long you are working in present Company?
• Why you are looking for change?
• Are you ready for relocation?
• Your present Salary str ?
• How flexible you are ?
• Do you receive any award or recognition from present company?
• Where you see yr self after 5 yrs down the line?

HR round
• Salary negotiation
• Why you have jumped so many Companies?
• Why you have GAP in your resume

SAP FICO Online Training

What is SAP FICO and Introduction to SAP

Responsibility of a Consultant

Responsibility of a Consultant is to “Configure” and “Customize” SAP to “suit the business process requirements” of client’s Company.

Creation of new objects in SAP system is referred to as “Configuration” whereas making changes to existing objects is called as “Customization”.

ERP stands for Enterprise Resources Planning

Resources can be classified in to 4 categories, they are

1.Men

2.Machines

3.Material and

4.Money

The objective of an Enterprise is to get maximum profit from their investments.

The exercise “Planning” gives an Enterprise, the direction. Planning helps us to take decision by providing inputs required.

As this software helps Enterprises in planning their resource utilization, it is called as Enterprise Resource Planning Software.

Modules in SAP

SAP is an Enterprise level application. It is difficult for a person to understand and work with the entire Organization. So, for the convenience the Product is divided in to smaller parts called “Modules”.

When the product is divided in to Modules, business functions are taken as basis. All business functions like Planning, Procurement (Purchases), Marketing, Accounting, Costing etc. are identified as “Functional Modules”. As each Module represents a Function in business, it is called as a “Functional Module”.

Important Functional modules

FI – Financial Accounting

CO – Controlling

SD – Sales & Distribution

MM – Materials Management

PP – Production Planning

PS – Project Systems

HCM – Human Capital Management (HR) Etc.

Important Technical Modules

ABAP / 4 – Advanced Business Application Programming (4th Generation) Basis – Systems & Database Administration

Components in SAP Financial Accounting Module

Part A: SAP Enterprise Structure

Part B: 1. General Ledger

2.Accounts Payable

3.Accounts Receivable

4.Asset Accounting Part C: Reports

Components in SAP Controlling Module

Part A: Controlling Area and its supporting objects

Part B: 1. Cost Element Accounting

2.Cost Center Accounting

3.Order Management

4.Profit Center Accounting

5.Product Costing

6.Profitability Analysis

Integration

1.Integration of FI/CO with MM Module

2.Integration of FI/CO with SD Module

Introduction: Integration means “connecting”. All the Modules in SAP system are already inter- connected with each other. Under this heading, we do not “connect” all these Modules with each other. We facilitate “automatic posting” of information between different modules to save time and effort of the end users. We also maintain “Integrity” of the data by integrating all these Modules with each other.

SAP Name and Architecture

SAP stands for Systems, Applications and Products in Data Processing

R/3 – Real time – 3 Tier Architecture

3 Tier Architecture:

1.Application Server

2.Database Server

3.Presentation Server (Client)

ECC stands for “Enterprise Central Component”.

Data processing Methods

There are two methods of processing data. They are

1.Batch processing

2.Real time processing

SAP is predominantly a Real time processing system. Batch processing functionality is also available basin on the requirements of different components.

Consultant: Consultant in SAP context is a person who understands client company’s requirements and configures / customizes SAP to suit the business process requirements of Clients Company.

End user: Employee working in a Client’s company is referred to as“End user”or“User.

Implementation Partner: Company which implements SAP for a client company is called as implementation partner in SAP practice.

Client: This term is used in our classes in two different contexts with two different meanings.

1.In Networking context: A machine in a Network which depends on a Server for resources.

2.In Business context: An entity getting services from a professional is known as Client.

Business Process: The step-by-step procedure used to carry out a business activity is known as

“Business Process”

Brief Notes on Components in SAP FI Module

Basic Settings / SAP Enterprise Structure: In Basic Settings, we create the Enterprise Structure and all the supporting objects required to create Master records and to post all types of GL documents.

We have 4 Components in FI Module. They are

1.General Ledger

2.Accounts Payable

3.Accounts Receivable and

4.Asset Accounting