SAP Financial Accounting (SAP FI) Practice Exam

If a company code wants to utilize document splitting, what must be done concerning GL accounts?

1. All GL accounts must be included in the master record

2. All GL accounts must be classified for document splitting

3. All GL accounts must be assigned to a fiscal year variant

4. All GL accounts must have special GL indicators

The correct answer is: All GL accounts must be classified for document splitting

Document splitting is a feature in SAP that allows the system to split accounting documents in a way that aligns with legal reporting requirements and internal management needs, particularly at the segment, profit center, or cost center level. For document splitting to function correctly, it is essential that all relevant GL accounts are classified appropriately in the system. By classifying GL accounts for document splitting, the system understands how to handle those accounts during the posting process. This classification involves setting up the accounts with specific attributes that determine whether they should be included in the splitting process, and how they will impact the balance sheet and profit and loss statements. This ensures that all transactions are accurately reflected in the financial reports, allowing the company to maintain a clear view of financial performance by segment. The classification of GL accounts for document splitting helps to facilitate compliance with financial reporting standards and provides the necessary granularity in financial statements, allowing company management to make informed decisions based on precise financial data. This aspect is critical for organizations that operate in multiple segments or business units, as it allows for monitoring and analysis tailored to their unique structures. In contrast, while the other options mention aspects that might be relevant in a general context of managing GL accounts, they do not specifically address the requirements for utilizing document splitting effectively