C_TS4FI Financial Accounting Practice Test 21 — 15 Questions

Question 1

A financial accountant is configuring automatic payment transactions in SAP S/4HANA Financial Accounting. The company wants to pay vendor invoices using a payment method that supports both outgoing payments and bank transfers. Which configuration step is required to enable a payment method for a specific country and company code?

Choose an answer to begin — your selection is scored in the full session.

Accepted Answer

Define the payment method in the country-specific payment method settings and assign it to the company code. To use a payment method in automatic payment transactions, it must be defined in the country-specific payment method settings, specifying properties like payment method type (outgoing/incoming), required bank details, and format. Then, it must be assigned to the company code to be available for payment runs. This two-step configuration ensures the payment method is properly recognized and processed.

Answer

Define a payment block reason and assign it to the payment method

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Create a house bank and assign the payment method to the house bank account

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Assign the payment method to the vendor master record in the payment transaction tab

Question 2

A financial accountant is analyzing a financial statement version in SAP S/4HANA. The company wants to report on a specific G/L account that should appear under both 'Current Assets' and 'Receivables' in the balance sheet. However, when the financial statement version is executed, the account appears only once. What is the most likely cause?

Accepted Answer

The financial statement version allows an account to be assigned to only one node.. In SAP S/4HANA, a G/L account can be assigned to only one node within a single financial statement version. This design prevents double counting of account balances in financial statements. If the business requires the account to appear under multiple sections, they must use separate financial statement versions or alternative reporting methods like SAP S/4HANA embedded analytics or custom reports. The other options do not correctly identify this restriction.

Answer

The 'Current Assets' and 'Receivables' nodes are in different financial statement versions.

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The account is a reconciliation account and cannot be reported in multiple nodes.

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The G/L account is not marked as a balance sheet account in the master record.

Question 3

An accounts payable accountant is posting a vendor invoice in SAP S/4HANA and needs the payment terms to be defaulted from the vendor master record while still allowing an override on the invoice itself. Which configuration in the vendor master ensures that payment terms are proposed but remain changeable at the time of invoice entry?

Accepted Answer

Maintain the payment terms field in the vendor master's Company Code data section as a default, which the invoice entry screen proposes but does not lock. Payment terms maintained in the vendor master's Company Code segment are proposed automatically during invoice entry but remain editable. This provides an efficient default while preserving the flexibility to adjust terms for specific documents, which is the behavior the accountant requires. Field status and account group settings govern availability, not this default-and-override logic.

Answer

Create a substitution rule in Financial Accounting that copies payment terms from the vendor master to every invoice line

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Set the payment terms field in the vendor master as a required entry field using field status configuration

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Activate the payment terms field as a mandatory field in the vendor account group configuration

Question 4

A financial accountant is explaining the structure of a G/L account master record in SAP S/4HANA. Which of the following data segments contains the field 'Account Currency'?

Accepted Answer

Company code segment. The Account Currency field is located in the company code segment of the G/L account master record. This segment holds company code-specific settings, allowing different currencies per company code. The chart of accounts segment contains cross-company code information, and there is no client or controlling area segment in the G/L account master.

Answer

Controlling area segment

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Chart of accounts segment

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Client segment

Question 5

A financial accountant is setting up a new document splitting configuration in SAP S/4HANA to enable segment reporting. Which two of the following steps are required to activate document splitting for a company code? (Choose two.)

Accepted Answer

Define a splitting method and assign it to the company code.. To activate document splitting, you must first enable it in the company code settings and then assign a splitting method to that company code. The splitting method defines the dimensions and rules for splitting. Other steps like creating a new ledger or document type are not required. Assigning segments to profit centers is a master data task that supports segment derivation but is not part of the activation process.

Answer

Create a new ledger for document splitting.

Answer

Define a document type for splitting postings.

Answer

Assign a segment to each profit center.

Question 6

A financial accountant is configuring the payment terms for a new vendor in SAP S/4HANA. The vendor should receive a 2% discount if the invoice is paid within 10 days, otherwise the full amount is due within 30 days. Which configuration object is used to define these payment terms?

Accepted Answer

Payment terms. Payment terms are used to define the conditions of payment, including cash discount periods and percentages, as well as the net due date. They are assigned to vendor master records and are used in invoice posting to calculate the due date and any applicable discount. In this scenario, the payment terms would specify a 2% discount if paid within 10 days, and the net amount due within 30 days.

Answer

Dunning procedure

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House bank

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Payment method

Question 7

A financial accountant in SAP S/4HANA needs to post a customer payment that partially clears an invoice. The company wants the residual item to remain open with the original payment terms so that the remaining balance still appears in the dunning run. Which standard SAP S/4HANA function should the accountant use?

Accepted Answer

Use the Residual Item processing mode for partial clearing, which creates a new open item carrying the original terms.. Residual item processing is the standard partial clearing method for open item managed accounts. The payment is applied to the invoice, the paid portion is cleared, and a new open item for the difference is generated with the original payment terms, so dunning, payment run, and aging reports continue to treat the remaining balance consistently.

Answer

Post the incoming payment with the Partial payment account type and leave the residual item with the original terms.

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Reverse the original invoice and repost it with a reduced amount matching the payment received.

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Post a credit memo against the invoice and then create a new debit memo for the unpaid balance with fresh terms.

Question 8

During a period-end close in SAP S/4HANA, an accountant must ensure that all foreign currency vendor invoices are revalued before the financial statements are produced. The company uses the standard foreign currency valuation program. Which prerequisite must be satisfied for the valuation postings to be generated?

Accepted Answer

The valuation method and valuation area must be defined and assigned to the company code, and the affected accounts must permit the valuation difference postings.. The foreign currency valuation program depends on a valuation method that is assigned to the company code and controls which accounts are valued, which exchange rate type is used, and where differences are posted. The relevant G/L accounts must also allow automatic postings, so the run can create the adjustment documents required for period-end reporting.

Answer

The foreign currency revaluation must be executed only after the fiscal year has been closed in the previous period.

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All open items in foreign currency must first be cleared so that only zero balances remain before the valuation run.

Answer

The exchange rate type used for the valuation must be manually entered in every vendor master record before the run.

Question 9

A financial accountant is reviewing a supplier invoice posted in SAP S/4HANA. The invoice has a baseline date of July 1, payment terms of 14 days with a 2% discount, and a net due date of July 31. The supplier offers a cash discount if payment is made by July 15. The accountant wants to verify the discount basis date that the system uses to determine the cash discount deadline. Which date does the system use as the discount basis date?

Accepted Answer

The baseline date for payment. The baseline date for payment is the reference date from which the system calculates all payment terms, including the cash discount period and the net due date. In this scenario, the baseline date of July 1 results in a discount deadline of July 15 and a net due date of July 31. Using any other date would produce incorrect discount and due date calculations.

Answer

The document date of the invoice

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The entry date of the invoice

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The posting date of the invoice

Question 10

A financial accountant is preparing the month-end close in SAP S/4HANA and must ensure that the general ledger and subledgers are reconciled before reporting. Which two tasks belong to the standard month-end closing activities in Financial Accounting? (Choose two.)

Accepted Answer

Execute the foreign currency valuation for open items and post the resulting adjustment documents.. Standard month-end closing in Financial Accounting includes valuation of foreign currency open items and reconciliation between subledgers and the general ledger. These two controls ensure monetary items are correctly valued and that integrated postings are consistent, which are prerequisites for reliable period-end reporting and for the subsequent financial statement preparation.

Answer

Change the fiscal year variant of the company code to match the calendar year before posting closing entries.

Answer

Define a new document type for all closing entries and activate it for the current posting period.

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Run the balance carryforward program for all G/L accounts to move current-year balances into the new fiscal year.

Question 11

During the month-end closing, a financial accountant attempts to post a journal entry that includes a line item to a reconciliation G/L account. The system issues an error stating that the reconciliation account cannot be posted to directly. Which configuration in SAP S/4HANA Financial Accounting is responsible for this restriction?

Accepted Answer

The reconciliation account is marked as a 'Reconciliation account for account type' in the G/L account master record.. The reconciliation account indicator in the G/L account master record designates the account as a reconciliation account for a subsidiary ledger. Once flagged, the system prohibits direct postings to that account; postings must be made to the corresponding subledger (e.g., customer, vendor) and are automatically updated to the reconciliation account. This ensures that the general ledger reflects subledger balances accurately and prevents inconsistencies.

Answer

The field status group assigned to the reconciliation account suppresses the posting key field.

Answer

The account is defined as a 'Balance Sheet Account' in the financial statement version.

Answer

The account is assigned to a reconciliation ledger in the ledger group configuration.

Question 12

A financial accountant is running the foreign currency valuation (transaction FAGL_FC_VAL) in SAP S/4HANA. The valuation is performed for open items in a foreign currency. The accountant notices that some open items are not being valued even though they have a foreign currency balance. Which of the following is the most likely reason?

Accepted Answer

The valuation area does not include the relevant G/L accounts or the items are not marked for valuation.. The foreign currency valuation only considers open items that belong to G/L accounts included in the valuation area and that are marked for valuation. If the accounts are not part of the valuation area or the items are not flagged, they will be skipped. This is a common configuration oversight. Therefore, the most likely reason is that the valuation area does not include the relevant accounts or the items are not marked for valuation.

Answer

The open items are already valued and the valuation difference is zero.

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The exchange rate used for valuation is not maintained for the posting date.

Answer

The valuation method does not include the relevant currency pair.

Question 13

During a foreign currency vendor invoice posting in SAP S/4HANA Finance, the accountant notices that the exchange rate used by the system differs from the rate the accountant expected. The invoice is posted in USD with the local currency being EUR. The exchange rate was determined automatically based on the posting date. Which configuration object is responsible for the exchange rate determination, and where should the accountant verify the rate used?

Accepted Answer

The exchange rate type maintained in Customizing, verified in the currency exchange rates table via transaction OB08.. Exchange rates in SAP S/4HANA Finance are maintained by exchange rate type, currency pair, and validity date using transaction OB08. The system determines the rate for a foreign currency posting based on the exchange rate type configured for the document or company code and the posting date. Verifying the rate in OB08 for the relevant exchange rate type and date confirms which rate the system applied.

Answer

The currency translation ratios defined in the company code global parameters, verified in transaction OY01.

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The valuation area settings in Asset Accounting, verified in transaction OAYZ.

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The posting period variant assigned to the company code, verified in transaction OBBO.

Question 14

A company posts a goods receipt for a purchase order in SAP S/4HANA. The accountant expects a corresponding financial accounting document, but the material is assigned to a material type whose valuation class points to a G/L account that is not configured for automatic postings. What is the consequence of this configuration gap?

Accepted Answer

The goods receipt cannot be saved because account determination fails, and an error message identifies the missing account determination.. Integration between materials management and financial accounting requires complete automatic account determination. The valuation class of the material, combined with the transaction key and account modification, must resolve to a G/L account that permits automatic postings. When that chain is broken, the valuated goods receipt cannot be saved, and the error message points directly to the missing or misconfigured account determination.

Answer

The goods receipt is saved and an adjustment posting is created manually by the accountant at month end.

Answer

The system posts the goods receipt to a default clearing account defined in the company code settings.

Answer

The goods receipt posts with a warning and the financial document is created later during invoice verification.

Question 15

A financial accountant is executing the foreign currency valuation run in SAP S/4HANA Financial Accounting. The run is configured to use the 'Always Valuate' indicator for a specific G/L account. After the run, the accountant notices that the valuation difference was posted even though the exchange rate did not change from the previous valuation. What is the effect of the 'Always Valuate' indicator in the valuation run?

Accepted Answer

It forces valuation regardless of whether the exchange rate has changed.. The 'Always Valuate' indicator in the foreign currency valuation run forces the system to valuate selected accounts even if the exchange rate has not changed since the last valuation. This results in a valuation difference being posted, as seen in the scenario. Without this indicator, the system would skip valuation for accounts with unchanged rates.

Answer

It reverses previous valuation postings before revaluing.

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It only valuates accounts with a changed exchange rate.

Answer

It skips valuation for accounts with no balance.