C_TS4FI Financial Accounting Practice Question
A financial accountant is creating a new G/L account in SAP S/4HANA using transaction FS00. The account will be used for utility expenses and must be posted to directly. Which account type must be selected during creation to ensure it can be used as a general ledger expense account?
⚠ Common exam trap
The trap here is selecting a subledger account type like Vendor or Customer, thinking it is needed for expense accounts, when actually a pure G/L account type is required for direct expense postings.
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
G/L
A utility expense account is a general ledger account that is not tied to a subledger. Therefore, it must be created with the G/L account type, which allows direct posting and is not a reconciliation account. The other account types are reserved for subledger reconciliation accounts.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Asset
Why it's wrong here
The Asset account type is used for asset reconciliation accounts linked to the Asset Accounting subledger. Utility expenses are not asset-related, so this account type would be incorrect. It would restrict the account to asset transactions and not allow direct expense postings.
- ✗
Customer
Why it's wrong here
The Customer account type is used for reconciliation accounts linked to customer subledgers. It is not appropriate for a utility expense account, which is a pure G/L account. Selecting this would restrict the account to customer-related postings and prevent direct expense postings.
- ✓
G/L
Why this is correct
The G/L account type is used for general ledger accounts that are not reconciliation accounts for customers or vendors. Utility expenses are typically recorded in such accounts, allowing direct posting via journal entries. This is the correct choice for a pure expense account.
- ✗
Vendor
Why it's wrong here
The Vendor account type is for reconciliation accounts associated with vendor subledgers. A utility expense account is a general ledger account that can be posted directly, so it should not be created as a vendor reconciliation account. This would cause errors when posting direct expenses.
About these practice questions
One of 207 original C_TS4FI practice questions on Courseiva, each with a full explanation and wrong-answer analysis — not exam dumps or protected exam content. Learn why practice questions differ from exam dumps →
JA
Written and reviewed by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
Last reviewed September 2026 · checked against the official SAP exam blueprint
This C_TS4FI practice question is part of Courseiva's free SAP certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the C_TS4FI exam.