SAP Content

The SAP Financial Accounting (SAP FI) module is the core module within the financials application. Almost all functionality that resides in the other financial application modules relies on the implementation of at least parts of the FI module. Financial Accounting is designed to provide financial information from an external view.

The FI application module is designed for automated management and external reporting of general ledger, accounts receivable, accounts payable, and other sub-ledger accounts with a user-defined chart of accounts.

The general ledger contains a record of all relevant accounting transactions from a business point of view in the G/L accounts. In order to retain a clear overview, the general ledger often contains collective postings. In such cases, the information posted is displayed in more detail in the subsidiary ledgers, which provide their information to the general ledger in summarized form:

Accounts Payable records all accounting transactions for dealings with suppliers. Much of its data is obtained from procurement (Materials Management).

Accounts Receivable records all accounting transactions for dealings with customers. Much of its data is obtained from Sales and Distribution.

Asset Accounting records all accounting transactions relating to the management of assets.

Travel Management manages and calculates travel costs and supports travel planning and travel expenses

Bank ledger supports the posting of cash flows.

All G/L account postings that post to business expense accounts automatically send the expenses as costs to Controlling. The balances of G/L accounts are used to calculate financial statements.

Various financial applications offer different views of the financial position and performance of a company and allow various control levels.