SAP General Ledger Accounting is a fundamental module in SAP’s Financial Accounting (FI) system. It is designed to comprehensively and integratively manage and record all of a company’s financial transactions.
This module is essential for creating financial statements, ensuring compliance with accounting standards and managing accounts.
SAP General Ledger Accounting Integration?
The General Ledger Accounting in the SAP System is integrated with various application components that generate posting data relevant to General Ledger Accounting. These components include:
Asset Accounting (FI-AA), Accounts Receivable (FI-AR), Accounts Payable (FI-AP), Controlling (CO), Materials Management (MM), Human Capital Management (HCM), Treasury and Risk Management (TRM), Travel Management (FI-TV), and Public Sector Management (PSM-FM).
When you activate the business function set the global functions Funds Management (PSM-FM) and Public Sector (EA-PS), you will have a separate set of tables containing the Public Sector account assignments, such as fund and grant.
Features of SAP General Ledger Accounting?
- Parallel Accounting – In General Ledger Accounting, you can conduct parallel accounting by operating multiple parallel ledgers (general ledgers) for different accounting principles.
- Integration of Legal and Management Reporting – In General Ledger Accounting, you can conduct internal management reporting in parallel with legal reporting.
- Segment Reporting – General Ledger Accounting supports the segment reports required by the accounting principles US GAAP (Generally Accepted Accounting Principles) and IFRS (International Financial Reporting Standards).
- Cost of Sales Accounting – You can record the cost of sales in General Ledger Accounting, which includes the Functional Area dimension.
Business Transactions in SAP General Ledger Accounting?
Businesses can use business transactions in SAP General Ledger Accounting in order to edit and post their business transactions. Components in Business Transactions in SAP General Ledger Accounting are:
- Post – Businesses can post their transaction to G/L accounts.
- Clear – Businesses can post open items by clearing or clearing an account manually.
- Reversal – Businesses can reverse the document; if they have entered an incorrect document, you can reverse the document.
- Internal Correspondence – Businesses can create and edit internal evaluations such as internal documents.
Tools Used in SAP General Ledger Accounting?
SAP General Ledger Accounting offers various tools for its users, such as:
- Creating reports
- Checking settings
- Performing tests
- Transferring data
- Migrating data
- Summarizing data
These tools are used in the different areas of General Ledger Accounting such as:
- In reporting (Report Painter and Report Writer)
- With rollups
- With allocations
- During ledger selection
- In Integrated Business Planning
- With validations, substitutions, and rules
- During currency translation.
