SAP FICO Interview Questions

List down the modules that FICO is related to.

Material management

Human resource

Sales and distribution

Controlling of financial transaction

Production planning


In FICO, what do you use to determine the transaction type?

A two digit numerical is used to determine the transaction type entered in the line item. The function of the posting key is to determine the field status of transaction, the account types and the types of posting (credit or debit)


Mention the organizational elements in SAP FICO.

These are the organizational elements in SAP FICO

Business area

Company code

Functional area and

Chart of account


Give a short description about validation and substitution.

Under the documentation and line item levels, for each functional area in SAP, validation or substitution is defined (like controlling, assets etc.)


Name the application areas using validations and substitutions.

Asset accounting (AM)

Consolidation (CS)

Financial accounting (FI)

Special purpose ledger (GL)

Cost accounting (CO)

Real estate (RE)

Project system (PS)

Profit center accounting (PC)


Explain about the payment methods that can be opted to make vendor invoice payments

There are two types of payment methods available to make vendor invoice payments such as Manual Payment (no output medium like cheques etc. is used) and Automatic Payment (Data Medium Exchange (DME), wire transfer and cheques)


Define field status group

The field user group is used to control the fields that come up during the time when a user involves in any transactions. The field status group will be stored in Financial General Ledger (FIGL) master.


What are the steps to create credit control area in SAP?

To create credit control area in SAP, you can use the transaction code OB45 or path. Proceed with the following steps,

SPRO> enterprise structure >maintain structure>definition>financial accounting>maintain credit control area and then enter the following description


Name of the credit control area in SAP



Credit Limit

Risk Category

Fiscal Variant

Rep group


How does the creation of 'Document type' serve in SAP?

The creation of 'Document type' serves the following purposes,

A document's number range is defined by it

Various types of accounts that are shortlisted for posting are controlled by the creation of document type. Some of such accounts are Vendor, Normal GL account, Customer, and Assets


Give some of the instances of tolerance that can be defined for Logistic invoice verification

Moving average price variances, small differences, price variances and quantity variances can be quoted as the instances for logistic invoice verification.


What is SAP FICO?

SAP FICO Stands for FI (Financial Accounting) and CO (Controlling). SAP FICO is the important module of ERP and both FI and CO modules that store the financial transactions data.


What is COA? What is the relevance of defining chart of account?

COA is chart of account. It is a list of GL accounts and COA key contains


Maintenance language

Length of the GL Account Number

Controlling Integration

Group chart of accounts (Consolidation)

Block Indicator


What is posting key? What is its role?

It controls the line item of GL entry debit and credit.


What do you enter in Company code Global settings?

Four-digit alphanumeric key that includes Name of the company, City , Country , Currency , Language and Address


Can one COA be assigned to several companies?



What is residual payment and part payment?

Residual payment clears original invoice with incoming amount and create new line item for remaining outstanding amount.

Part payment leaves the original invoice amount and creates new line item for incoming amount.