GLOSSARY OF
SAP FINANCE
MASTER DATA
TERMS
A Quick Reference Guide to
SAP Finance Master Data
Terminology
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REFERENCE
MATERIALS
Glossary of SAP Finance Key Concepts
Term
Definition
Chart of Accounts
A list of all General Ledger accounts used by
an organization.
General Ledger Account
An account used to record financial
transactions in an SAP system.
Posting Key
A two-digit code used to identify the type of
posting in an SAP system.
G/L Account Group
A grouping of related General Ledger
accounts in an SAP system.
Account Currency
The currency used for a specific General
Ledger account in an SAP system.
Reconciliation Account
A General Ledger account used to reconcile
sub-ledger accounts in an SAP system.
Vendor Master Data
Information about a vendor, including
contact information and payment terms,
stored in an SAP system
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Glossary of SAP Finance Key Concepts
Vendor Account Group
A grouping of related vendor accounts in an
SAP system.
Account Group
A grouping of related General Ledger
accounts, customer accounts, or vendor
accounts in an SAP system.
Customer Master Data
Information about a customer, including
contact information and payment terms,
stored in an SAP system.
Customer Account Group
A grouping of related customer accounts in
an SAP system.
Asset Master Data
Information about a company's fixed assets,
including acquisition cost, depreciation, and
disposal, stored in an SAP system.
Asset Class
A grouping of related fixed assets in an SAP
system.
Asset Subnumber
A subcategory of a fixed asset in an SAP
system.
Asset Depreciation Area
A depreciation area used to calculate the
depreciation of a fixed asset in an SAP
system.
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Depreciation Key
A key used to define the method and rate
of depreciation for a fixed asset in an SAP
system.
Depreciation Run
A process used to calculate the depreciation
of fixed assets in an SAP system.
Asset Acquisition
The process of acquiring a fixed asset,
including purchase and capitalization, in an
SAP system.
Asset Disposal
The process of disposing of a fixed asset,
including sale or scrapping, in an SAP
system.
Asset Retirement
The process of retiring a fixed asset,
including write-off or retirement due to
obsolescence, in an SAP system.
Fixed Asset Class
A classification of fixed assets based on
their nature, function, or use in an SAP
system.
Cost Center
A department or function within an
organization responsible for incurring costs
in an SAP system.
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Glossary of SAP Finance Key Concepts
Profit Center
A unit within an organization responsible
for generating revenue and profit in an SAP
system.
Functional Area
A classification of expenses or revenue
based on their purpose or function in an
SAP system.
Company Code
A unique identifier for a legal entity within
an organization in an SAP system.
Business Area
A unit within an organization responsible
for a specific business process or function in
an SAP system.
Account Determination
The process of determining the appropriate
General Ledger account for a financial
transaction in an SAP system.
Tax Code
A code used to determine the tax rate for a
financial transaction in an SAP system.
Fiscal Year Variant
A variant used to define the fiscal year for
an organization in an SAP system.
Financial Statement Version
A version of financial statements, including
balance sheet and income statement, used
by an organization in an SAP system.
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REFERENCE
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Glossary of SAP Finance Key Concepts
Depreciation Key
A key used to define the method and rate
of depreciation for a fixed asset in an SAP
system.
Depreciation Run
A process used to calculate the depreciation
of fixed assets in an SAP system.
Asset Acquisition
The process of acquiring a fixed asset,
including purchase and capitalization, in an
SAP system.
Asset Disposal
The process of disposing of a fixed asset,
including sale or scrapping, in an SAP
system.
Asset Retirement
The process of retiring a fixed asset,
including write-off or retirement due to
obsolescence, in an SAP system.
Fixed Asset Class
A classification of fixed assets based on
their nature, function, or use in an SAP
system.
Cost Center
A department or function within an
organization responsible for incurring costs
in an SAP system.
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REFERENCE
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Glossary of SAP Finance Key Concepts
Bank Master Data
Information about a bank, including bank
account numbers and contact information,
stored in an SAP system.
Bank Account
A bank account used for financial
transactions in an SAP system.
Payment Method
A method used to make payments to
vendors or receive payments from
customers in an SAP system.
Payment Terms
The terms of payment for a financial
transaction in an SAP system, such as
payment due date and payment discounts.
Payment Run
A process used to create payments for
vendors or customers in an SAP system.
Down Payment Request
A request for a down payment from a
customer in an SAP system.
Down Payment
A payment made by a customer in advance
of goods or services in an SAP system.
Parked Document
A financial document saved in an SAP
system but not yet posted to the General
Ledger.
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REFERENCE
MATERIALS
Glossary of SAP Finance Key Concepts
Recurring Entry
A financial entry that occurs regularly and is
automatically posted in an SAP system.
Accrual
An expense or revenue that has been
incurred but not yet paid or received in an
SAP system.
Interest Calculation
The process of calculating interest on a
financial transaction in an SAP system.
Exchange Rate
The rate used to convert currencies in an
SAP system.
Exchange Rate Type
The type of exchange rate used for a
financial transaction in an SAP system.
Credit Control Area
A unit within an organization responsible for
managing credit limits and payment terms
for customers in an SAP system.
Dunning
The process of notifying customers of
overdue payments and requesting payment
in an SAP system.
Payment Card
A credit or debit card used for payment in
an SAP system.
Payment Card Processing
The process of processing payment card
transactions in an SAP system
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