Free Practice Questions for SAP C_S4FCC_2021 Exam

To share ownership relationships, you need to use a special version with a consolidation group attribute. This attribute allows you to define the ownership relationships between consolidation units and groups, which is essential for group reporting in SAP S/4HANA Finance.

Item groups identify quantity variances, timing variances and price differences in SAP Intercompany Matching and Reconciliation posting rules1.

In group reporting, the currency translation method is assigned to the consolidation unit (B).

When there is a balance sheet and income statement posting in a group journal entry, the offsetting entries are created by the selected Financial Statement (FS) items for automatic posting. This feature ensures that the balance sheet and income statement are always in balance (SAP Help Portal: Group Journal Entries).

The report logic in SAP S/4HANA group reporting determines the first common parent based on consolidation group hierarchies. This is used for the elimination of intercompany transactions and consolidation of financial data.

To record values by business area in the Post Group Journal Entries app, you must add the business area to a breakdown category. It allows you to capture the required values by business area.

In the purchase method, there can be non-controlling interest values representing the portion of the subsidiary not owned by the parent company. The investment is adjusted to reflect the fair value of the acquired subsidiary's net assets.

Data slices in SAP Intercompany Matching and Reconciliation matching rules are made up of Company code and Partner unit. These two factors help to identify the corresponding transactions for matching and reconciliation purposes (SAP Help Portal: Define Matching Rules).

A blank posting level is used in the data collection task. This task collects data from different sources, such as the general ledger, subledgers, and other systems, before the consolidation process begins.

According to the SAP S/4HANA Finance for Group Reporting Associates documents1, FS item types that you can use in SAP S/4HANA Finance for group reporting are:

Balance sheet: An FS item type that represents a balance sheet item, such as assets, liabilities or equity. Balance sheet items are carried forward from one period to another and are translated using historical or current rates depending on their balance type.

Profit & Loss: An FS item type that represents an income statement item, such as revenue, expense or net income. Profit & loss items are not carried forward from one period to another and are translated using average or current rates depending on their balance type.

Statistical: An FS item type that represents a statistical item, such as variances or differences between debit and credit balances. Statistical items do not affect the balance sheet total or net income and are not translated.