SAP Financial Accounting (SAP FI) Certified Application Associate Practice Exam

What element should always post to the general ledger in SAP depreciation configurations?

1. Financial statements

2. Depreciation areas

3. Asset under construction

4. Depreciation start date

The correct answer is: Depreciation areas

In SAP depreciation configurations, the element that should always post to the general ledger is the depreciation areas. Depreciation areas are essential components that define how and when the depreciation of an asset is calculated and reported. Each depreciation area can have its own set of rules for the recording and reporting of depreciation expenses, allowing for adjustments based on different accounting standards or operational requirements. The primary purpose of defining multiple depreciation areas is to ensure that various financial reporting needs are met simultaneously, such as local statutory reporting or internal management reporting. When depreciation is posted to the general ledger, it reflects in the financial statements, providing accurate insights into the value of assets over time, aligning with accounting practices and regulations. The other elements, although important in their contexts, do not directly post to the general ledger in the same way as depreciation areas do. Financial statements summarize results rather than post individually; an asset under construction may not yet be depreciated and thus won’t directly impact general ledger postings until completed; and the depreciation start date is simply a parameter that determines when depreciation starts but does not itself represent a posting to the ledger. Hence, depreciation areas are the critical elements that govern the recording and reporting of asset values in the general ledger.