This video provides a detailed explanation of the concept of retained earnings in SAP S/4HANA Financial Accounting (FI). Here are the key points:

1. Retained Earnings: The video explains that the functionality of retained earnings accounts is to transfer the profit and loss values to the retained earnings account at the fiscal year closing. After transferring profit and loss value to the retained earnings account, the balance sheet is completed.
2. Defining Retained Earnings in the System: The video demonstrates how to define retained earnings in the system. This is done through the configuration screen (SPRO) under the path: Reference IMG > Financial Accounting > Financial General > Azure accounting > Master data > GL impression.
3. Assigning Retained Earnings Account: The presenter assigns a retained earnings account to his chart of accounts (CA coa0coa1) in the system.
4. Creating a General Ledger for Retained Earnings: The video shows how to create a general ledger for the retained earnings account. This is done using the FSW transaction code or through the SAP menu (Master report > General Ledger account > Individual processing). The presenter creates the general ledger account centrally under the Capital head as a balance sheet account.

In summary, the video explains the concept of retained earnings, how to assign a retained earnings account, and how to create a general ledger for the retained earnings account in SAP S/4HANA Financial Accounting.