SAP Financial Accounting (SAP FI) Practice Exam

What key objects must be in place for implementing asset accounting?

1. Profit center and business segment

2. Company code and chart of accounts

3. Data privacy agreement and tax regulations

4. Sales organization and marketing strategy

The correct answer is: Company code and chart of accounts

The implementation of asset accounting in SAP FI requires specific foundational elements to ensure that the system functions correctly and integrates with other financial processes. The company code is crucial, as it represents the smallest organizational unit for which complete financial data can be maintained. It serves as a central point for managing assets and liabilities, and all asset transactions must be recorded against a specific company code. Additionally, the chart of accounts provides the framework for the general ledger accounting in SAP. It is essential for defining the accounts that will be used in asset accounting, allowing the system to categorize and report on asset transactions effectively. The relationship between the company code and chart of accounts is vital for establishing clear financial reporting and compliance with accounting standards. In contrast, while profit centers and business segments can enhance reporting capabilities, they are not mandatory for the basic setup of asset accounting. Data privacy agreements and tax regulations, while important for compliance, do not directly relate to the ERP structure necessary for implementing asset accounting. Similarly, a sales organization and marketing strategy pertain more to the operational side of business and are not relevant to the foundational setup for asset accounting in SAP.