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Asset Impairment with Revaluating Depreciation in ECC6

  • Till now we have used the impairment process which we used to use before upgrading to ECC6. In this process, if we have made impairment during the fiscal year, that impairment value will be ignored by SAP for calculating the ordinary depreciation for the remaining months of that particular year. Therefore, we would see the difference between systems posted ordinary depreciation and expected to be posted depreciation.
  • We can use the following new impairment functionality in SAP ECC 6.0 – EHP5.
  • We will find impairment option in AR01 worklist.
  • We have made two Transaction Types ZUP and ZDN for impairments by re-valuating depreciation.
  • System will post to impairment accounts configured in AO90 for revaluation of APC or DEP during depreciation run.
  • Most of the times we will use impairments by revaluating depreciation compare to reduction of APC.
  • No need to create additional depreciation areas for impairment. We can activate revaluation function in required depreciation areas and create custom transaction types based accounting principle like impairment IFRS/GAAP only.

Configuration

Create Transaction Type ZUP and ZDN under Revaluation in SPRO and limit these Transaction Types into Book Depreciation only.

Pre-Requisites

Made the A/c 2051001 as Recon A/c in  T-code – OAMK

Unblock A/c 7605000 for posting

Unlocked Cost Center

Description of Testing

Asset 100731 has been created in Company Code 0001,

Acquisition Value posted,

Planned Depreciation shown in the Asset Explorer,

Impairment posted in Period 9 through Miscellaneous,

Planned Depreciation got changed in Asset Explorer.

Now post depreciation in Current year

AFAR – Recalculate Depreciation

AFAB – Post Depreciation from Period 1-11

Conclusion

Now after impairment the re-valuated depreciation has been posted in the Asset.

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