BACHELOR OF BUSINESS ADMINISTRATION

BUSINESS ADMINISTRATION

FINANCIAL ACCOUNTING

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
What does the document splitting do?
A
It enriches all secondary cost element account lines with the defined splitting characteristics.
B
It enriches all revenue account lines with the defined splitting characteristics
C
It enriches all relevant balance sheet account lines with the defined splitting characteristics
D
It enriches all profit and loss account lines with the defined splitting characteristics
Explanation: 

Detailed explanation-1: -Document splitting enables you to draw up complete financial statements for the following dimensions at any time: Segments. Profit centers. Business areas.

Detailed explanation-2: -Document splitting allows you to display documents using a differentiated representation. In the representation, line items are split according to selected dimensions. In this way, you can draw up complete financial statements for the selected dimensions at any time.

Detailed explanation-3: -Use. You can use document splitting to automatically split line items for selected dimensions (such as receivable lines by profit center) or to effect a zero balance setting in the document for selected dimensions. In document splitting, the system creates additional clearing lines.

Detailed explanation-4: -You can define document splitting characteristics for the general ledger as relevant for the balance sheet. To do this, you set the Zero Balance Setting indicator for the characteristic. In this case, the system ensures that those characteristics produce a balance of zero in each document by creating clearing lines.

There is 1 question to complete.