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he central task of G/L accounting is to provide a comprehensive picture of external accountingand accounts. Recording all business transactions (primary postings as well as settlements frominternal accounting) in a software system that is fully integrated with all the other operationalareas of a company ensures that the accounting data is always complete and accurate.

Beyond fulfilling the legal requirements, General Ledger Accounting also fulfills other

requirements for modern accounting:

Parallel Accounting

General Ledger Accounting allows you to perform parallel accounting by managing severalparallel ledgers for different accounting principles.

Integration of Legal and Management Reporting

In General Ledger Accounting, you can perform internal management reporting in parallel withlegal reporting. For this purpose, the Profit Center Accounting functions are integrated withGeneral Ledger Accounting. Furthermore, you can generate financial statements for anydimension (such as profit center).

Segment Reporting

General Ledger Accounting supports the segment reports required by the accounting principlesIFRS (International Financial Reporting Standards) and US GAAP (Generally Accepted

Accounting Principles). For this purpose, General Ledger Accounting contains the Segmentdimension.

Cost of Sales Accounting

You can perform cost of sales accounting in General Ledger Accounting. For this purpose,General Ledger Accounting contains the Functional Area dimension.

Integration

General Ledger Accounting is integrated with all application components of the SAP System thatgenerate posting data of relevance to General Ledger Accounting:

Asset Accounting (FI-AA)

FI Accounts Receivable and Accounts Payable

Controlling (CO)

Materials Management (MM)

Human Capital Management (HCM)

Treasury and Risk Management (TRM)

Travel Management (FI-TV)

Public Sector Management - Funds Management Government (PSM-FM)

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When you activate the business function set Public Sector (EA-PS) and the global functionsFunds Management (PSM-FM), you obtain a separate set of tables containing the Public Sectoraccount assignments, such as fund and grant.Features

General Ledger Accounting comprises the following functions for entering and evaluating posting

data:

Choice between group level or company level

Automatic and simultaneous posting of all subledger items in the appropriate general ledgeraccounts (reconciliation accounts)

Simultaneous updating of the parallel general ledgers and of the cost accounting areas

Real-time evaluation of and reporting on current posting data, in the form of accountdisplays, financial statements with different balance sheet versions, and additional analyses.

In this way, General Ledger Accounting automatically serves as a complete record of all businesstransactions. It is the central and up-to-date component for reporting. Individual transactions canbe checked at any time in real time by displaying the original documents, line items, and monthlydebits and credits at various levels such as:

Account information

Journals

Totals/transaction figures

Balance sheet/profit and loss evaluations