ACADEMY: FINANCIAL ACCOUNTING FI PAPER 14

1. Benefits of integration are a. processes can be done concurrently, rather than consecutively. This reduces process time b. data moves through internet platform and access becomes faster c. eliminates duplicate entries d. single entry accounting becomes easier 2. R/3 a. b. c. is called so because it requires three servers it integrates three basic modules, vi ., !", logistics and #R it has three tier architecture representing database, application and front end presentation d. it has three tier architecture representing $%", B&'" and R(!

3. application modules supported by R/3 include a. !", (), TR, *+,,,, '', ',,-,,#R,'*,.!,"* b. !",(),TR,*+,,,,'',',,-,,#R,'*,.!,"*,/( c. !",(),TR,*+,,,,'',',,-,,#R,'*,.!,"*,/(,(('(,(''& d. !",(),TR,*+,,,,'',',,-,,#R 0. "n standard business process of a manufacturing organi ation a sales order 1ould trigger in another application a. ,'* b. ,R' c. 'urchase requisition d. $oods delivery 2. ,ain components of !" are a. $3,&R,&&,3(,TR b. $3,&R,&',&&,TR c. $3,&R,&',&&,3(,TR,(, d. $3,&R,&',&&,3(,TR,T, 4. ,ain components of () are a. ()),,()'(,()'&,/('(&,()T, b. ()),,()'(,()'&,/('(&,()((& c. ()),,()'(,()'& d. ()),,()'(,()'&,/('(& 5. The sequence of business processes 6related to ra1 material for production7 in ,, can be described are a. 'R8,R'8$R,"9:)"(/ b. 'R8')8$R8"9:)"(/ :/R"!"(&T")9 c. 'R8')8$R8"9:)"(/ :/R"!"(&T")98:/9+)R '&;,/9T d. 'R8')8$R8"9:)"(/ :/R"!"(&T")98R/(/"'T )! +"*()%9T !R), :/9+)R <. "t is a must to create group company before any transaction processing a. completely true b. partially true c. completely false d. partially false =. it is a must to create company code before any transaction processing a. completely true

ACADEMY: FINANCIAL ACCOUNTING FI PAPER 14 b. partially true c. completely false d. partially false 1>. business area is a legal entity for 1hich you need a balance sheet a. completely true b. partially true c. completely false d. partially false 11. client is the highest level organi ation a. completely true b. partially true c. completely false d. partially false 12. many company codes can be attached to one plant a. completely true b. partially true c. completely false d. partially false 13. many company codes can be assigned to one controlling area a. completely true b. partially true c. completely false d. partially false 10. operating concern can encompass several controlling areas a. completely true b. partially true c. completely false d. partially false 12. credit control area is a concept in () a. completely true b. partially true c. completely false d. partially false 14. master data is created 1ith the help of ",$ a. completely true b. partially true c. completely false d. partially false 15. transaction data is core information that is shared across applications a. completely true b. partially true c. completely false d. partially false 1<. the user specific defaults are possible if setting is done in a. user profile b. company code parameters c. session managers

ACADEMY: FINANCIAL ACCOUNTING FI PAPER 14 d. terminal 1=. customi ed report trees are created through a. transaction menu of information system b. master creation of reports c. ",$ d. *tandard report functionality 2>. :ariant creation helps in a. calculating variance bet1een actual and standard b. processing repetitive transactions c. to coy repetitive field values in master creation d. to be a standardi ed selection criteria for repetitive use required to run program 21. credit control area may consist of one or more company codes a. completely true b. partially true c. completely false d. partially false 22. credit control area is used a. by the *+ and &R components to provide integrated credit management b. by !"/&' to prove credit 1orthiness to vendors c. independently by !" to monitor customer credit d. independently by *+ to monitor customer credit 23. a company code can be assigned 1ith a. three chart of accounts b. t1o charts of accounts c. only one chart of account d. a chart of account called as operating chart of account 20. association bet1een numbers from group chart of account and/or country/alternate chart of account can be established in a. company code global parameters b. master data of ledger account from operating chart of account c. group company details d. country details 22. account groups 1hich are assigned in account master creation helps a. to determine 1hich fields should be suppressed, required or optional 1hile processing transaction b. to determine 1hich fields should be suppressed, required or optional 1hile creating master in company code area c. to determine 1hich fields should be suppressed, required or optional 1hile processing transactions and master both d. in grouping the accounts 1ith specific logic and assign specific number interval 24. there are t1o areas8chart of account and company code8in 1hich $/3 account master has to b e created because a. data can be distributed and easy to process b. the same chart of account can be assigned to several company codes c. the company specific features can be maintained in company code areas

ACADEMY: FINANCIAL ACCOUNTING FI PAPER 14 d. creation of $/3 can be done in t1o stages 25. house ban?s are ban?s a. 1hich are used by the company code in 1hich they are created b. 1hich are used by customers/vendors c. located in the same building 1here company is located d. 1hich are nationali ed 2<. primary cost element is related to a. $/3 account code in one to one relationship b. $/3 account code in one to many relationship c. *everal secondary cost elements to group them d. "nternal order 2=. "t is a must to assign a standard hierarchy in cost center master a. completely true b. partially true c. completely false d. partially false 3>. statistical order permits a. settlement to cost center b. application of overhead to them c. evaluation of costs 1hich cannot be itemi ed in detail cost element or cost center accounting d. costing of product 31. for a. b. c. d. every transaction, system generates at least 0 documents 3 documents 2 documents 1 document

32. transactions 1hich have a financial impact generate along 1ith other documents a. material document b. *+ document c. *ystem document d. &ccounting document 33. 'urchase order creation is an e@ample of transaction a. 1hich also triggers accounting document b. 1hich does not create any accounting document c. 1hich creates document in *+ d. 1hich triggers document in '' 30. document has the follo1ing sections a. title and details b. open item and line items c. header and line items d. coding bloc? and line items 32. document type is assigned in the line item section of document a. true b. false 34. document type allo1s more than one account types 1hile processing the particular document type

ACADEMY: FINANCIAL ACCOUNTING FI PAPER 14 a. true b. false 35. number range id is assigned in a. account type b. document type c. document header d. document line item 3<. follo1ing are the account types a. &,+,A,,,* b. &,+,A,,,*,B,* c. &,+,A,,,*,T d. &,+,A,,,*,',3 3=. 9umber range can be defined as a. only internally system generated b. only e@ternally assigned by user c. either e@ternally or internally d. both e@ternally and internally at the same time 0>. posting ?eys determine a. account groups to 1hich account numbers belong b. debit/credit, account type and field status of the transaction c. debit/credit, account type, account group and field status of the transaction d. document type, account type and field status of the transaction 01. the relationship bet1een calendar months and posting period is defined in the properties of a. posting period variant b. field status variant c. fiscal year variant d. global parameters of company code 02. only one company code can be attached to a posting period variant a. true b. false 03 fiscal year can have a. ma@imum 12 regular posting periods and 0 special periods b. any number of posting periods c. 14 regular periods d. 14 special periods

00 account type essentially controls a. account group 1hich can be assigned to the account code b. 1hich account8$/3, customer, vendor, material, or asset can be used in a line item of transaction posting c. tolerance level of the accounts involved d. document type 1hich can be used

ACADEMY: FINANCIAL ACCOUNTING FI PAPER 14 02 account group in the conte@t of $/3 account determines status of fields in a. transaction b. chart of account segment of master data c. company code segment of master data d. none of the above 04 field status variant and posting ?ey both determine field status in a. chart of account segment of master data b. company code segment of master data c. document type d. none of the above 05 negative postings cause transaction figures of the account a. changed b. unchanged c. double d. none of the above 0< for a. b. c. negative posting, negative posting indicator needs to be chec?ed only in document type only in company code global parameters and reason code properties only in document type, company code global parameters and reason code parameters d. none of the above

0= follo1ing and the !" functionality offered for speedy posting a. posting 1ith reference, recurring entries, account assignment models, $/3 fast entry screens b. only $/3 fast entry screens c. only recurring entries d. none of the above 2>terms of payment can be assigned to a. $/3 master b. (ustomer or vendor master c. Transaction processing for customer/vendor d. 9one of the above 21 Base line date is a. a date on 1hich payment becomes due b. from 1hich due date is calculated depending on the settings in payment terms c. a base date after 1hich discount lapses d. none of the above

22 due date and cash discounts are dependent on a. settings in company code b. credit management settings c. payment term d. payment method 23 currency assigned in company code master is a. transaction currency b. group currency c. hard currency

ACADEMY: FINANCIAL ACCOUNTING FI PAPER 14 d. local currency 20 validations are used a. to substitute values in fields b. to support data entry c. to validate the data being entered is meeting certain criteria 1hen certain prerequisites are met d. none of the above 22 par?ing of document is a functionality a. 1hich can be used to complete and post subsequently the documents 1hich are incomplete b. to hold the document for the ne1 session c. to process documents faster d. none of the above 24 dunning process is used a. to generate payments b. to remind customer/vendor of account arrears c. to remit the payments d. none of the above 25 opening and closing of posting period is done a. customi ation of fiscal year b. customi ation related to opening and closing of posting period c. definition of posting period variant d. none of the above 2< updating of reconciliation account a. happens on a daily basis b. is real time update c. happens after the end of the posting period d. none of the above 2= customer and vendor master can b e maintained a. only in !" b. only in *+/,, c. centrally as 1ell as in respective functional areas d. none of the above 4>customer master is divided into a. t1o sections8company code and sales area b. three sections8general data, company code and sales organi ation c. four sections8general data, company code, salas organi ation and production d. none of the above 41 function of tolerance group is a. is to set tolerance level for foreign e@change b. is to define user groups 1ith different amount limits for documents and line items c. grouping tolerance levels of specific nature d. none of the above 42 posting ?eys are defined at a. business area level b. company code level

ACADEMY: FINANCIAL ACCOUNTING FI PAPER 14 c. client level d. none of the above 43 every company code must have its o1n document type a. true b. false 40 the a. b. c. d. standard posting ?eys used for $/3 posting are 0>, 2> 1=, 2>and 0> 2>, 3= none of the above

42 in case of cross company code transactions a. one has to post t1o documents individually b. posts a document in one company and system generates another document in concerned company 1ith common lin? of cross company code transaction number c. system lin?s documents based on user given number in cross company code transaction field d. none of the above

ACADEMY: FINANCIAL ACCOUNTING FI PAPER 14

KEY 1. &,( 2. ( 3. + 0. B 2. ( 4. & 5. B <. ( =. & 1>. ( 11. & 12. ( 13. & 10. & 12. .. 14. & 15. ( 1<. & 1=. .. 2>. B 21. & 22. & 23. &,B,(,+ 20. B 22. B,+ 24. &,B,+ 25. & 2<. & 2=. & 3>. .. 31. + 32. + 33. B,+ 30. ( 32. B 34. & 35. B 3<. & 3=. ( 0>. B 01. &,( 02. B 03. & 00. B 02. ( 04. ( 05. & 0<. ( 0=. & 2>. B,( 21. B 22. (

ACADEMY: FINANCIAL ACCOUNTING FI PAPER 14 23. + 20. ( 22. & 24. B 25. B 2<. B 2=. ( 4>. B 41. B, ( 42. ( 43. B 40. & 42. B

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