Courseiva
Financial Accounting →hardMultiple Select

C_TS4FI Financial Accounting Practice Question

You are configuring asset accounting in SAP S/4HANA. For a new depreciation area, you need to ensure that it posts depreciation to the general ledger and that it is used for cost accounting purposes. Which two settings must you configure for this depreciation area? (Choose two.)

⚠ Common exam trap

The trap here is assuming that activating a depreciation area automatically makes it post to G/L and relevant for cost accounting, when these are separate indicators.

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

✓

Set the 'Post to G/L' indicator for the depreciation area.

To meet the requirements, the depreciation area must have both the 'Post to G/L' and 'Cost Accounting' indicators set. These control whether depreciation is posted to the general ledger and whether it is used in cost accounting. The other options relate to ledger assignment or derivation, which do not directly enable G/L posting or cost accounting usage.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • ✗

    Define the depreciation area as a derived area from the book depreciation area.

    Why it's wrong here

    Derived areas are used to calculate depreciation based on another area's values, but they do not inherently post to G/L or serve cost accounting. The question requires the area itself to post and be cost accounting relevant, which is not achieved by derivation alone.

  • ✓

    Set the 'Post to G/L' indicator for the depreciation area.

    Why this is correct

    This indicator ensures that depreciation calculated in this area is posted to the general ledger. Without it, the area would be for informational purposes only. Since the requirement is to post depreciation to G/L, this setting is mandatory.

  • ✓

    Set the 'Cost Accounting' indicator for the depreciation area.

    Why this is correct

    The 'Cost Accounting' indicator makes the depreciation area relevant for cost accounting, allowing depreciation to be used in cost center accounting and profitability analysis. This is necessary to meet the requirement that the area is used for cost accounting purposes.

  • ✗

    Assign the depreciation area to a ledger group in the ledger configuration.

    Why it's wrong here

    Ledger groups are used to assign accounting principles to ledgers, but they do not control whether a depreciation area posts to G/L or is used for cost accounting. This setting is about ledger-specific accounting, not the depreciation area's posting or cost accounting behavior.

  • ✗

    Set the 'Active' indicator for the depreciation area.

    Why it's wrong here

    The 'Active' indicator simply enables the depreciation area for use, but it does not ensure G/L posting or cost accounting relevance. An active area could still be non-posting and not cost accounting relevant. Thus, it alone does not fulfill the requirements.

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 →

How Courseiva writes practice questions · Editorial policy

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.