What is FICO SAP?
SAP FICO is a part of SAP ERP used to report financial information to outside and inside customers. The goal is to keep track of an entity’s financial transactions and come up with accurate financial statements at the end of the trading period. The full name of SAP FICO is FI (Financial Accounting) and CO (Controlling) (Controlling).
In this SAP FICO basics tutorial, you’ll learn about the big picture of SAP FICO and the main things it can do.
SAP FICO sub modules make up SAP FI. Accounts receivable, accounts payable, asset, general ledger, and bank accounting are common sub-modules. There is a considerable amount of SAP Courses in Ahmedabad for one to check out.
Accounting for the General Ledger
General ledger accounting is used to keep track of all the accounts in the public ledger used for reporting. In SAP, a chart of accounts lists all the general ledger accounts that a company or group of companies uses. This is the list of funds that will be used to make financial statements. Most transactions are recorded in sub-modules and then compared in real-time with the general ledgers. In public ledger accounting, transactions can be done directly through journal vouchers posted to change or correct transactions. From the general ledger, you can also do reversals. Account balances in the public ledger can be shown, and trial balances can be pulled out of the system.
Accounts receivables is a sub-module of FICO SAP that keeps track of all customer transactions and handles their accounts. There will be separate accounts for each customer, and when transactions are posted to customer accounts, the general ledger is updated with the new numbers in real-time. Versions of receivable transactions including posting invoices, posting credit memos, receiving down payments, paying invoices, sending reminders, and executing customer reports.
Accounting for Money – General Ledger
All of a company’s transactions are written down in General Ledger. It is the central record that keeps track of all accounting information. Most entries in the general ledger are transactions with customers, purchases from vendors, and commerce within the company.
Common T-codes are used to keep track of G/L accounting.
F-06 F-07 FBCJ FB50 FB02 Accounts Receivable and Payable (AR/AP) in Finance and Accounting
It has information about how much the customer paid and what the company paid to the vendors. In other words, AP includes all transactions with vendors, and AR consists of all customer dealings.
The most-used SAP AR T-codes
- Common SAP AR Tables: FD11, FD10, FRCA, and VD01.
- Common SAP AP T-codes are KNA1, KNVV, and BSIW.
- Common SAP AP Tables XK01 MK01 MK02 FCHU
Finance Accounting Asset Accounting LFA1 LFM2 LFBK
Asset accounting takes care of the company’s fixed assets and gives information about all its transactions. The Asset Accounting module of Finance Accounting works closely with other modules such as SAP MM, SAP Plant Management, EWM, etc.
Asset accounting T-codes that are used often
ASEM Example: When a company buys something that could be considered an asset, the details will be sent from the SAP MM module to the Asset accounting module.
- Money and Accounts Accounting for Banks
It takes care of everything that goes on in a bank. It includes all the transactions that came in and went out, the management of the balance and the bank transaction master data.
With the Bank accounting component, you can make and handle any bank transaction.
Some tables from the Bank Accounting module that are often used for this are:
- The T-codes LFBK, BNKA, and KNBK are often used in bank accounting.
- FIBLAROP\sOBEBGEN\sFI13\sFF 6\sRVND
- Money and Accounts Travel Management
With this module, a company can keep track of all its travel costs. It includes all the travel requests, how they will be planned, and how much they will cost.
It helps an organization efficiently keep track of travel costs because it works with all of SAP’s other modules.
Common Travel Management T-codes −
Common Travel Management tables PR05 PRTS TRIP PR00.
- TA22B\sPTRV HEAD\sFTPT PLAN\sFTPT ITEM
- Money and Accounts Fund Management
- This module is used to keep track of money in a business. To find out about funds, the Fund Management module talks to other modules like Bank accounting, General Ledger (G/L), SAP AR/AP, SAP Material Management, etc.
It includes all the transactions for getting money, spending money, and paying for things in the future. It helps a business make a budget plan and use the money correctly.
- Standard tables that store information about how to manage money
- FMFCTR, MIFIIT, and FMIT are standard SAP T-codes for managing money.
- FM5I FMWA FMEQ Consolidation of Finance, Accounting, and Law
- It lets a company treat all its units as if they were a single company. This means that all of the details can be seen on a single financial statement for all companies in that group. As a whole, an organization can get a clear picture of its financial state.
- Tables that are used often in the FI Legal Consolidation module
- SAP FICO: The SAP FICO module is a part of SAP ERP can be learned easily from s20 Training institute that is used for both internal and external financial reporting.
- SAP FICO means: SAP’s Financial Accounting (FI) and Controlling (CO)
- General ledger accounting is used to keep track of all the accounts in the general ledger used for reporting. In SAP, a chart of accounts lists all the general ledger accounts that a company or group of companies uses.
- Accounts receivables is a sub-module that manages customer accounts and keeps track of all transactions with customers.
- Accounts payables is a sub-module that keeps track of and manages all transactions with vendors.
- Asset accounting keeps track of all an entity’s transactions with its assets.
- All transactions with banks are kept track of in bank accounting.