A Chart of Accounts is assigned to which organizational object?

Question

Options

• AOperating Concern
• BCompany Code
• CControlling Area
• DClient

• A
  3% (1)
• B
  95% (38)
• C
  3% (1)

Explanation

In SAP, a Chart of Accounts (CoA) is assigned to a Company Code - the central organizational unit representing a legal entity with its own complete set of accounts for financial accounting (FI). The CoA defines the structure of G/L accounts available to that Company Code.

Why the distractors are wrong:

• A. Operating Concern belongs to Profitability Analysis (CO-PA) and deals with market segments, not accounting structures.
• C. Controlling Area is a CO (Controlling) object; while it references Company Codes, it doesn't directly receive a CoA assignment.
• D. Client is the highest SAP organizational level (the entire system instance) - CoA is defined at the client level but is assigned to Company Codes, not the Client itself.

Memory tip: Think "Company Code = legal entity = its own books." Just as a real company has its own chart of accounts for statutory reporting, in SAP the Company Code is what gets assigned the CoA. The phrase "Company Code → Chart of Accounts" mirrors real-world accounting logic.

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