SAP FICO Job Interview Questions: Essential SAP FICO Job Interview Questions and Answers for a Successful Career.

This article is for everyone, who wants to prepare for an SAP Technical Interview. The Questions are focused on SAP FICO. Of cause this article can also be helpful for employers asking potential interviewees.

What is SAP FICO?

Allows an organisation to store a comple version of their transactional data. But what does that mean? FICO helps to create and manage financial statements for analysis and reporting. But Also planning for companies and supports decision making.

Why should you use SAP FICO in comparison to other software solutions?

SAP FICO is more flexible. This means the customisability is much higher. For example the option for multable currencies.

What does FICO stands for?

The FICO module consists of historically speaking two individual separate parts:

SAP FI: Financial accounting: (Soo here we overall deals with internal and external reporting)
SAP CO: Controlling (Which is responsible Monitoring and planning costs)

Which sub models are includes in SAP FI or SAP Finance:

SAP FI contains of cause ,multable sub models which handle specific accounting activities are:

1.Account Receivable(invoices, down payments etc.) Forderungskonto

2.Accounts Payable(vendor and managed vendor accounts) — Verkäufer und Lieferanten

3.General Ledger( General accounting — Contains all the company transaction data) -> Mostly a chart or table of the different accounts

4.Bank Ledger (Bank statements can be compared with data in the system)

5.Asset Accounting (Management of the fixed assets like real estate or machines bought etc.)

6.Consolidation (Create a overview as a combined financial statement)

7.Funds Management(Manage the budget and revenue of the company)

8.Special Purpose Ledger

9.Travel Management(Booking tripes, and sepses etc.)

In conclusion, FI deals with many sub-models for example Fixed asset, cash journal, unit inventory, Tax accounting ledger, Parallel valuation and master data governance

Which sub models does SAP CO have?

SAP CO includes many sub components to plan and manage costs related to business operations. That means CO can be used to increase the profitability of a company.

The sub models are:
1.Profitability Analysis: product pricing, distribution channels, and target customers.

2.Product Costing: contains cost for producing the product or service.

3.Cost Elements: Contains all the costs also names income statements.

4.Cost centers: Sales, production, marketing or HR

5.Internal Orders

6.Profit Centers

In conclusion, the main purpose is planning and comparing actual real time data with plan data. And therefore control your business.

What is the first thing you do when implementing SAP FICO into a company?

First we are opening the Transaction with code: SPRO. Then we create a new company into the SAP ERP system. To do soo we are using:

-Transactioncode: spro to create a new company.
-Create a fiscal year
-Tolerance Groups(Restricting accountance users permisssions)
-Add Retained earnings account.

What is Asset Management:

It is everything what we have our name on as a company. For example Cars, Machines, or inventory, Real estate. As we talk about cars those depreciate.

So we have to create “Define Depreciation Areas”. And assign the assets to them. Because they degrees over time.

What is a G/L Account?

G/L stands for General Ledger and those accounts are used to store all the business transactions. Also this is used to provide a picture of external accounting and accounts.

What are some of the different types of organisational elements of SAP FI?

1.company code
2.business area
3.functional area
4.chart of accounts

What are the places where a company code is used?

Company Codes are used for different financial statements of the organisation. For example for Profit and Loss statement(GuV) and the balance sheets.

What kind of fiscal years can be used in SAP?

Is a period of time for which a company is required to provide its financial statements to the government.

Explain the concept of ‘dunning.’

When we want to create payment reminders for customers we can create so called Dunnings.

What does APP stand for in SAP FICO?

The name APP refers to the term “Automatic Payment Program”. Suppliers and clients are payed automatically.

What are the different components of a Chart of Accounts?

-Chart of account key
-Block indicator
-Name
-Group chart of accounts
-Maintain language
-Controlling integration
-Maintain language

Difference between Master and Transactional Data?

Master data:
Commen data and this data is spread across different IT System.

Transactional Data:
The master data is used and changed for requesting or analysing data

What is a Transport request?

When we make configurations or changes in the system we collect them into a request.

Name the different Server Stages and clients:

We have different stages to test system changes those are:

1.Development
-(Optional) Testing
2.Quality
3.Production

The login into this system is managed by client codes.

Conclusion:

I hope the article helped.