This document provides instructions for setting up the organizational structure and basic configuration for financial accounting in SAP. It includes steps for defining the client, company, company code, business area, fiscal year variants, posting periods, chart of accounts, and assigning these master data. The goal is to lay the groundwork for financial transactions by establishing the necessary master data and configurations.

1. FINANCIAL ACCOUNTING
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Contents
FI - ORGANIZATIONAL STRUCTURE...................................................................................... 2
Client........................................................................................................................................... 3
Define Company (OX15)............................................................................................................ 3
Short description creation ........................................................................................................... 3
Define company code (OX02).................................................................................................... 3
Assign company code to company (OX16)................................................................................ 4
Define Business Area (OX03) .................................................................................................... 4
Fiscal year settings (OB29)......................................................................................................... 5
Fiscal year Variants (OB29) ....................................................................................................... 5
Assign company code to fiscal year variants (OB37)................................................................. 6
Open and close posting period.................................................................................................... 6
Define variants for open posting periods (OBBO) ................................................................. 6
Open and close posting period (OB52)................................................................................... 6
Assign variants to Company code (OBBP) ............................................................................ 6
Field Status Groups..................................................................................................................... 7
Define Field Status Variants (OBC4) ......................................................................................... 7
Assign company code to field status variants (OBC5)............................................................... 7
CHART OF ACCOUNT................................................................................................................. 8
Types of chart of account............................................................................................................ 8
Operating chart of account settings............................................................................................. 8
A) Edit chart of accounts list (OB13) ................................................................................... 8
Assign company code to chart of account (OB62) ................................................................. 8
Define Account Group (OBD4).................................................................................................. 8
Define Retained Earnings Account (OB53) ............................................................................... 9

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FI - ORGANIZATIONAL STRUCTURE
Production Client: 300
1000
1000 3000
1000 3000
CRIN CRUS
Moon Corporation - 01000
1000 2000
1000
3000
01 02
Steel - 1000
Motors - 2000
Chemical - 3000
INR
IND
Group Chart of Account: GCCA
Country Chart of Account: CCIN
Operative Chart of Account: OCIN
CCUS
OCUS
Client
Operating Concern
Controlling Area
Financial Area
Credit ControlArea
rea
Company
Company Code
Personal Area
Personal Sub-area
Business Area
Country
Chart of Accounts
Currency USD
IND

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Client
This is the self contained and top most technical , commercial organisational units in SAP with
separate master data and own set of tables.
Define Company (OX15).
A company in SAP – refers to the smallest organisational unit for which individual financial
statement can be drawn according to the legal and commercial requirements. A company can
accept more than one company code and also these companies code use the same operative chart
of account and same fiscal year variant, in addition above these companies code can use different
currencies also.
Path: Sap easy access → tools → customizing → img (implementation guide) → execute
projects → eference img tab (spro) → enterprise structure → definition → financial accounting
→ define company
Click on new entries
Company – TATAGC (maximum 6 digit alpha numeric)
Company name – TATA GROUP OF COMPANIES
Detailed information
Street – MG Road
P.No – 12345
Postal code – 123456
City – Mumbai
Country – IN (India)
Language – EN (English)
Currency – INR (Indian Rupee)
Press enter key and click on save.
Note: when we click on save button system will display a request dailar box. Here we have to
given the short description regarding what are the activities we had done in previous. Then
system will create short description of our request number.
Short description creation
Click on create level (F8) → short description → company → click on save → click on continue
(tick mark)
Come back to easy access
Define company code (OX02)
Company’s code is the smallest organisational unit in FI with contained accounts enabling the
drawing up of financial statement and commercial requirement of the country wherein the
companies code is operating. Each company code is assigned to an operative chart of accounts
and fiscal year variant and the same chart of account and fiscal year variant can be used in more
than one company code. Here all companies assigned same fiscal year variant will follow the
same the business calendar.

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Path: Spro → Img → Enterprise structure → Definition → Financial accounting → Edit, copy,
delete, check company code (click on active button)
Double click on edit company code data
Click on new entries
Company code – TAST (any 4 digit of alpha numeric)
Company name – TATA STEEL
Street – Hydrabad
Country – IN
Currency – INR
Language – EN
Click on address field
Name
Title – COMPANY
Name – TATA STEEL
Search term – A
Street address
Street/house no – MG Road
Postal code / city – 123456 – Hydrabad
Country – IN
Region – 01 (Andra Pradesh)
Click on save
Note: just like you can create any number of company code like TATA MOTORS, TATA
FINANCE, TATA CONSULTANCY etc. press F8 for next entry.
Come back in to easy access
Assign company code to company (OX16)
Path: Spro → img → enterprise structure → assignment → financial accounting → assign
company code to company.
Click on position
Company code – TAST
Code Copmany
TAST TATAGC
Press enter key and click on save.
Click on continue button
Come back to easy access
Define Business Area (OX03)
In FI this internal organisational units represents a separate operational responsibility. Separate
business area financial statements (both Balance sheet and P&L statements) can be created for
internal purposes.
Path: Spro → img → enterprise structure → definition → financial accounting → define
business area.

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Click on new entries
Business Areas Description
TAHY Hydrabad
TAPU Pune
TACU Calcutta
Press enter key and save
Fiscal year settings (OB29)
Fiscal year is nothing but period – normally made up to 12 month for which company draw up
their financial statements and values their inventory. There is no any condition regarding the
fiscal year is a calendar year or non-calendar year and also the fiscal year is need not necessarily
to contain 12 month (periods), in case if the fiscal year is less than 12 periods then its called
shortened fiscal year.
Fiscal year Variants (OB29)
Fiscal year variants helps in defining the relationship between the calendar and fiscal years, it is
specifying the number on of posting periods and special posting periods required in fiscal year.
There can be maximum 12 posting periods and 4 special periods in General Ledger (GL)
accounting.
Special Periods: Besides the normal 12 posting periods, SAP allows for defining maximum of 4
more posting periods it is known as special periods. This periods is used for year-end closing
activities.
Path: Spro → Img → Financial accounting (new) → Financial accounting global setting (new)
→ Ledgers → Fiscal year and posting periods → Maintain fiscal year variants
Click on new entries
FV Description No. posting No. posting period No. special period
TE Apr-Mar 4 – spl 12 12 4 (maximum)
Press enter key
Select your fiscal year variant code (TE) and double click on period folder
Click on new entries
Month Day Period Year shift
04 (April) 30 1 0
05 (May) 31 2 0
06 (June) 30 3 0
07 (July) 31 4 0
08 (Aug) 31 5 0
09 (Sept) 30 6 0

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10 (Oct) 31 7 0
11 (Nov) 30 8 0
12 (Dec) 31 9 0
01 (Jan) 31 10 -1
02 (Feb) 28 11 -1
03 (Mar) 31 12 -1
Press enter key and save
Assign company code to fiscal year variants (OB37)
To find out your company code click on position and type TAST
Fiscal year variants – TE
Press enter key and save
Come back to easy access
Open and close posting period
In simple term open period can be refers that a period which are going to start posting. If you do
not want to post any business transaction on that particular period we can keep that period in
close posting.
Path: Spro → Img → Financial accounting (new) → Financial accounting global settings (new)
→ Ledgers → Fiscal year and posting period → Posting period.
Define variants for open posting periods (OBBO)
Path: same
Click on new entries
Variants Name
TEPO (any 4 code) Posting period variants
Press enter key and save
Come back
Open and close posting period (OB52)
Path: same
Click on new entries
Variant A/C typ From P1 Year To P1 Year From P2 Year To P2 Year
TEOP + 1 2008 12 2008 13 2009 16 2009
Press enter key and save
Assign variants to Company code (OBBP)
Path: same

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Click on Position
Company code Variants
TASE TEOP
Press enter key and save
Field Status Groups
The ‘field status’ of an individual field or a group of field is marked into a Field Status Group
which is then assigned to individual GL master records.
Path: Spro → Img → Financial accounting (new) → Financial accounting global settings (new)
→ Ledgers → Fields
Define Field Status Variants (OBC4)
Path: Same
Select 0001 field data variants then click on copy as (F6) icon at the time it will be display in the
following manner.
FSTV Field status name
0001 Field status for 0001
Now you have to change in this following manner
FSTV Field status name
STTV (any 4 code) Field status for TAST
Press enter key and click on copy all then (tick mark)
Click on save
If you want to view the status group select your field status variants STTV.
Double click on Field Status Group folder then double click on G001 then double click on
General Data .
Select Text as Required entry, Assignment Number as Optional entry and others are remaining
Suppress.
Double click on Additional Account Assignment Group.
Select Business Area as Required entry and others are remaining Suppress.
Come back click on save again come back
Assign company code to field status variants (OBC5)
Path: Same
Click on position
Company code – TAST
Field status variants – FSTV

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Press enter key and save.
CHART OF ACCOUNT
Chart of account is the list of all GL account used in one or more company codes for recording
the business transaction. For each GL account, the chart of account contain the reference number
(account number), account name and other technical and functional detail.
Types of chart of account
 Group Chart of Account: it is used for consolidation purpose all company codes with
dissimilar operative chart of account falling under a company, it is also known as Corporate
chart of account.
 Country Chart of Account: it contains the GL accounts to meet the specific statutory or legal
requirements of a company from where a company code operates. Country charts of accounts
other wise known as Alternate Chart of account.
 Operative chart of account: A chart of account must be assigned to each of the company
codes and this chart of account is using for maintain the regular activities of the company.
Operating chart of account settings
Path: Spro → Img → Financial accounting → General ledger accounting → General ledger
accounts → Master data → Preparation
A) Edit chart of accounts list (OB13)
Path: Same
Click on new entries
Chart of account – CHAC (any 4 code)
Description – Operating Chart of Account
Maintain language – English
Length of GL account number – 8 (maximum)
Press enter key and save.
Come back wise
Assign company code to chart of account (OB62)
Path: Same
Click on position
Company code – TAST
Chart of account – CHAC
Press enter key and save
Come back wise
Define Account Group (OBD4)
Path: Same

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Click on new entries
Chart of account Account group Name From account To account
CHAC LI Liabilities 100001 200000
CHAC AS Assets 200001 300000
CHAC IN Incomes 300001 400000
CHAC EX Expenses 400001 500000
Press enter key and save
Come back wise
Define Retained Earnings Account (OB53)
Path: Same
Assign chart of account – CHAC
P&L Statements Accounts
X 100001
Press enter key two times and ignore the warning message.
Click on save. Come back