C_TS4CO_2023 Questions and Answers

Detailed Explanation: The valuation variant (option D) is required to configure the work in process (WIP) calculation in Product Cost by Period. The valuation variant determines the costing strategy and defines which costs are included in the WIP calculation, essential for accurate inventory valuation and profitability analysis in SAP S/4HANA Management Accounting.

Detailed Explanation: Statistical internal orders in SAP S/4HANA are used mainly for reporting and monitoring purposes, allowing postings simultaneously to both the internal order and a cost center (option B). Additionally, they can be used to perform results analysis (option D) for budgeting and cost tracking in Management Accounting. Statistical orders cannot be settled, as they are primarily for information purposes.

Detailed Explanation:Profit center allocations are managed within account-based profitability analysis in SAP S/4HANA, ensuring alignment of profitability and cost management with financial accounting.

Detailed Explanation: The transfer price solution in SAP S/4HANA is used when parallel valuation views (option D) are required, especially to distinguish between legal and group valuations. This is critical for consolidated reporting and managing internal pricing within multiple organizational entities.

Detailed Explanation: Local variables in Profitability Analysis reports can be populated through user entry during report execution (option D), allowing for flexible, real-time adjustments to analysis parameters within SAP S/4HANA.

Detailed Explanation: The ABAP Cloud Development Model (option C) is specifically designed for ABAP-native cloud development, supporting SAP S/4HANA Cloud environments. This model aligns with SAP's development strategies for cloud-native solutions, offering extensibility and integration capabilities.

Detailed Explanation: When defining order types in SAP, revenue posting permissions (option C) and default parameters for master record fields (option D) can be set. These configurations enable greater flexibility in internal order management and reporting.

Detailed Explanation:In costing-based Profitability Analysis, line item tables CE2XXXX and CE1XXXX store relevant profitability data in SAP S/4HANA. These tables are used for reporting detailed cost and revenue allocations.

Detailed Explanation: Planned prices in SAP are used for evaluating materials in cost estimates (option C) and for the valuation of goods movements (option D). This ensures accurate cost tracking and planning, especially critical in SAP S/4HANA Cloud Private Edition’s Management Accounting functionalities.

Detailed Explanation: A reference variant (option A) allows you to create a new standard cost estimate using the quantity structure of an existing one. This enables consistency and efficiency in standard costing within SAP S/4HANA.

Detailed Explanation: In SAP S/4HANA, costing sheets are assigned to valuation variants (option B), which define the parameters for cost estimates, including indirect costs and overheads. This is essential for accurate cost analysis and financial reporting.

Detailed Explanation:Number range intervals in SAP S/4HANA are maintained by business transactions and controlling area, allowing document numbering to be systematically organized and controlled within specific areas and transaction types.

Detailed Explanation:SAP S/4HANA consolidates both primary and secondary costs within the universal journal in the general ledger, ensuring a streamlined and comprehensive approach to financial reporting. This unified approach enables transparent cost tracking and efficient integration between Financial Accounting (FI) and Management Accounting (CO).

Detailed Explanation:The cost center standard hierarchy in SAP S/4HANA is a mandatory structure for each controlling area, encompassing all cost centers, providing a basis for consistent reporting and data aggregation.

Detailed Explanation: Product Cost by Order is suitable for scenarios requiring full cost traceability (option B) and individual control of production lots (option C). This is especially useful in discrete manufacturing environments where specific lot costing is necessary.

Detailed Explanation: Budget availability control in SAP S/4HANA allows checking funds based on overall plan value (option C) and tolerance limits (option D). These checks ensure effective budget management across projects and internal orders.

Detailed Explanation: For settling costs and revenue to a profitability segment in account-based profitability analysis, a transfer structure (option C) is essential. This structure maps cost elements to profitability segments, which enables direct posting of costs and revenues for specific segments in SAP S/4HANA Management Accounting.

Detailed Explanation:In SAP S/4HANA, the costing type in a costing variant specifies parameters like date key for saving costs and price updates, allowing businesses to manage cost calculations over different periods and adjust for price changes.

Detailed Explanation:Setting up costing-based Profitability Analysis involves defining characteristics, assigning value fields to conditions, and configuring summarization levels. These steps enable detailed reporting and segmentation of profitability data in SAP S/4HANA.