Interview Questions.

SAP FI MM Interview Questions and Answers


SAP FI MM Interview Questions and Answers

Q1. What is SAP FI MM?

Ans: As we realize approximately the module MM, FI and SD in SAP ERP. MM stands for Material Management,  FI wellknown for Financial Accounting, SD stands for Sales and Distribution. These  modules FI and SD may be very a good deal incorporated with MM modules. As we're in MM module, we ought to know about the integration   point.

Q2. How do you go approximately putting the FI MM account dedication?

Ans: FI MM settings are maintained in transaction code OBYC. Within these there are various transaction keys to be maintained like BSX, WRX, GBB, PRD and so forth. In every of those transaction keys you specify the GL money owed which get robotically surpassed at the time of entry. Few examples might be: BSX- Stands for Inventory Posting Debit GBB-Stands for Goods Issue/Scrapping/transport of products and so forth PRD- Stands for Price Differences.

Q3. At what level is the FI-MM, FI-SD account determination settings?

Ans: They are on the chart of accounts stage.


Q4. What are the additional settings required even as retaining or growing the GL codes for Inventory debts?

Ans: In the Inventory GL bills (Balance sheet) you ought to switch on the ‘Post routinely only’ tick. It is likewise really helpful to keep the a fore stated putting for all FI-MM money owed and FI-SD money owed. This facilitates

In preserving the sanctity of these debts and stops from having any distinction among FI and MM, FI and SD.

Q5. What is Valuation and Account project in SAP?

Ans: This is virtually the link among Materials Management and Finance. The valuation in SAP may be at the plant stage or the business enterprise code level. If you outline valuation at the plant level then you could have unique

costs for the identical fabric inside the numerous plant life. If you keep it at the enterprise code level you may have simplest charge across all flowers. Valuation additionally entails the Price Control .Each fabric is assigned to a fabric kind in Materials Management and each material is valuated either in Moving Average Price or Standard Price in SAP. These are the 2 sorts of price control available.

Q6. What is Valuation Class?

Ans: The Valuation Class inside the Accounting 1 View in Material Master is the principle link between Material Master and Finance. This Valuation Class together with the mixture of the transaction keys (BSX,WRX,GBB,PRD )

described above decide the GL account throughout posting. We can organization collectively special substances with similar properties by using valuation class. Eg Raw fabric,Finsihed Goods, Semi Finished

We can define the subsequent assignments in customizing : All substances with same material type are assigned to just one valuation class. Different materials with the equal material type can be assigned to one-of-a-kind valuation classes. Materials with one-of-a-kind material kinds are assigned to a unmarried valuation elegance.

Q7. Can we change the valuation magnificence in the cloth master once it's far assigned?

Ans: Once a fabric is assigned to a valuation class in the material master record, we can change it simplest if the shares for that fabric are nil. If the inventory exists for that cloth, then we can't change the valuation class.

In any such case, if the stock exists, we need to switch the shares or trouble the stocks and make the inventory nil for the unique valuation class. Then only we will be capable of alternate the valuation elegance.

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Q8. Does the transferring common price exchange inside the cloth master at some stage in problem of the inventory assuming that the rate control for the fabric is Moving Average?

Ans: The shifting common price within the case of goods difficulty stays unchanged. Goods trouble are usually valuated at the cutting-edge shifting average rate. It is best in items receipt that the transferring common charge might exchange. A

goods difficulty handiest reduces the full amount and the total price with regards to the fee and the moving charge stays unchanged. Also read the next question to research more approximately this topic.

Q9. If the solution to the above query is ‘Yes’, then listing the state of affairs in

which the moving common rate of the material in the fabric master adjustments while the products are issued.

Ans: The shifting average rate inside the material grasp adjustments in the scenario of Split Valuation that is now and again utilized by many corporations. If the cloth is challenge to split valuation, the material is controlled as numerous

partial shares and every partial stock is valuated one at a time. In break up valuation, the cloth with valuation header document may have ‘v’ moving average price. This is where the character stocks of a cloth are controlled cumulatively. Here  valuation kinds are created, one valuation type will have ‘v’ (MAP) and the opposite valuation kind can have ‘s’(standard rate). In this case, on every occasion the goods are issued from the respective valuation types, continually the MAP for the valuation header modifications.

Q10. What is the accounting access in the Financial books of money owed whilst the goods are received in unrestricted use inventory? Also point out the settings to be completed in the ‘Automatic postings’ in SAP

Ans: for the unique G/L bills.

On receipt of the products in unrestricted-use inventory, the Inventory account is debited and the GR/IR account receives credited. In customization, inside the computerized postings, the Inventory G/L account is assigned to the

Transaction occasion key BSX and the GR/IR account is assigned to the Transaction event key WRX.

Q11. If a cloth has no cloth code in SAP, are you able to default the G/L account in Purchase order or it needs to be manually entered?.

Ans: If a fabric has no fabric code in SAP, we are able to still, default the G/L account with the help of material groups. We can assign the valuation class to a cloth group after which in FI-automatic posting, we are able to

assign the applicable G/L account within the Transaction event key. The mission of a valuation magnificence to a cloth group allows the system to decide specific G/L bills for the man or woman material corporations.

Q12. What is the technique in SAP for Initial inventory importing? Mention the accounting entries also.

Ans: Initial inventory uploading in SAP from the legacy system is performed with inventory movement type 561( a MM transaction which is done).

Material valuated at general charge: For a cloth valuated at standard price, the initial access of inventory facts is valuated on the idea of popular fee within the fabric grasp. If you enter an opportunity price

at the time of the motion kind 561, then the machine posts the distinction to the rate difference account.

Material valuated at shifting common fee: The preliminary access of inventory records is valuated as follows : If you enter a price while uploading the initial records, the quantity entered is valuated at this charge.

If you do no longer input a cost whilst getting into initial facts, then the quantity entered is valuated at the MAP present inside the cloth grasp. The accounting entries are: Inventory account is debited and Inventory Historical add account is credited.

Q13. How do you configure FI-SD account willpower?

Ans: The FI-SD account determination takes place thru an get entry to sequence. The gadget goes about locating debts from extra precise standards to much less precise criteria. This is the collection it'd observe:

It will first get admission to and look for the mixture of Customer money owed assignment grp/ Material account mission grp/ Account key.

If it does not locate the debts for the first mixture it will search for Customer account assignment grp and account key


Three) Furthermore, if it does no longer locate debts for the primary 2 standards’s then it's going to look for Material account undertaking grp/Account key.

4) If it does no longer locate bills for the all earlier standards’s then ultimately it will look for Account key and assign the GL code. Thus posting of Sales Invoices into FI are effected on the basis of a combination of Sales employer, Account type, or Customer and Material Account project companies and following are the alternatives


Customer AAG/Material AAG/Account type

Material AAG/Account type

Customer AAG/Account kind

For every of this option you could define a Gl account. Thus the system Uses this gl account to automatically bypass the entries.