Important fields in Asset Accounting Configuration

[Former Member]

Purpose of fields in Depreciation Area:

Here we can see the different columns informing about different things.

• Column 1 shows Depreciation Area,
• Column 2 gives the Name of Depreciation Area,
• Column 3 indicates whether the Depreciation Area is a Real Depreciation Area or a Derived Depreciation Area,
• Column 4 indicates about post to GL where 1 indicates 'Area Post in Real Time' , 3 indicates 'Area Post Depreciation only',   4 indicates 'Area Post APC Directly and Depreciation' , 0 indicates 'Area does not Post.

Important fields here are the target group, whereby we can be known that which Depreciation Area will post to 'Leading Ledger' and which will post to 'Non-Leading Ledger' as well as the column of ‘Post to G/L Account’ as that will indicate what sort of postings are possible in that particular Depreciation Area. In this case Depreciation Areas 1 & 10 is posting to Leading Ledger and Depreciation Areas 20 & 25 to Non Leading Ledgers.

• From above we can see that Depreciation Area 1 is Real Depreciation Area as 'Tick' is there in box of real Depreciation Area.
• Posting in G/L is also defined in this screen.
• Note that the in only 1 Depreciation Area can be posted in Real Time. In other Depreciation Areas system will not allow to keep the indicator as '1'.
• Details about posting to which Ledger is also defined here.
• In Different Depreciation Area you can maintain the Depreciation Area of which you want to copy the Account Assignment for Posting.

  E.g. In this case we have Depreciation Area 20 of Ledger 'IF' for which the Account assignment is as per Depreciation Area 1 of '0L'.  

• In Value Maintenance all the parameters are maintained for all different types of transactions of Assets like Acquisition, Ordinary Depreciation, unplanned Depreciation, etc.
• Here the system will allow the transactions to be posted for a particular depreciation area on the basis of configurations in this screen only.

  E.g. From above it can be seen that for Revaluation is showing as 'No Values allowed' so this indicates that for this Depreciation Area, Revaluation cannot be done. Similarly in Unplanned Depreciation its maintained as 'All Values allowed' means all the values, negative or positive both will be allowed for Unplanned Depreciation for this Depreciation Area.   

The below part is related to the Derived Depreciation. The meaning of Derived Depreciation Area means such area is deriving its value from different Depreciation Areas. Here you can maintain that the Derived Depreciation is to be used only for Reporting purpose or not. Under that you have to mention the details of Depreciation Areas from which this Derive Depreciation Area will derive its value from.

1. E.g. In current case Depreciation Area 01 is for Real Depreciation and Depreciation Area 10 is created for Revaluation purpose. Client’s requirement was to get summation of values of both depreciation areas So for this Depreciation Area 81 is created and the configuration for such derived Depreciation is taken below:

Here in depreciation Area Sign you have to maintain that system should either add or subtract the value of Real Depreciation Area. In Divisor you have to maintain the percentage of value that you want to take from Real Depreciation Area, in Area you mention the Depreciation Area for which you want to derive the values in the Derive Depreciation Area.

From above diagram it can be seen that system is adding the values of Depreciation Area 10 & 1 in the Depreciation Area 81 as the indicator set is Positive, and its taking full value as the Divisor is '1'.

1. E.g. value in Depreciation Area 01 is 1000 and in Depreciation Area 10 is 500 then in Depreciation Area 81 it will be showing 1500 for that particular period.

In Specify Area Type, you mention about whether the Depreciation Area is Valuation for Trad Balance Sheet, Manual Revaluation, Net worth Valuation, etc. [T-Code – OADC]

SPECIFY TRANSFER OF APC VALUES [T-Code – OABC]

• The purpose of the above configuration is that the system should adopt the APC postings from the relevant Depreciation Area mentioned in the Adoption of Values Column.

     E.g. In above we can see that the Depreciation Area 15 and 20 are picking the APC values from the Depreciation Area 01. This indicates that system will take the values for the Depreciation Area from the Depreciation Area mentioned besides the Depreciation Area.

• The last column indicates whether system should pick the identical values only from the Depreciation Area or modification can be done.

  E.g. If we tick on that Box, it will indicate that no changes in APC postings can be done in Depreciation Area 15 and 20, but if we keep the box untick, as in the present case, then we can make the modifications in the APC values that is taken from Depreciation Area 1.  

Note: The Depreciation Area that is to be assigned in the Adopting of Values field has to be lower than the Depreciation Area in which you want to have such values. Like in the above case, in Depreciation Area 20 we can assign Depreciation Area 01 but vice versa is not possible.

The same as above is also possible for the Depreciation Terms, where we can configure that system should adopt the Depreciation terms from a particular Depreciation Area as shown below:

Fields in Changes in Asset Class:

• In Asset Class you enter the Asset Class and give the details about the Asset Description and the Short Text. Multiple Asset Class can be assigned to a particular Account Determination but generally for each Asset Class a unique Account Determination is created so that different GL's are used for different Asset Class and so in case of error less time is consumed in fetching the incorrect data.

• Screen Layout rule signifies that which Screen Layout is to be made applicable in the Asset Master of that particular Asset Class. The Screen Layout can be maintained in T-Code AO21.  In Number Range you decide that by which Number the Asset in this this Asset Class gets created. In external Sub Number is useful if you want that the System should create the subnumber of Assets other than Group Asset externally.

• Block Asset Class from creating any new Asset in the Asset Class can be done when you tick on the box of 'Asset Class is blocked'. If you want to map the Asset to SAP Real Estate Management then you have to mention that the Asset Class is the Real Estate Class.  But generally its of not much relevance.

Significance of Status of AUC:

• If the Asset Class is a normal Asset Class whereby normal purchase, retirement, etc. transactions are taken place then ‘No AUC or Summary management of AUC Radio button is to be chosen.

  E.g. Plant & Machinery, Building, etc.  

• If the Asset Class is such that the client wants to settle the AUC line item wise to Multiple Assets then Radio Button ‘Line Item Settlement’ should be selected.

1. E.g. If there is an AUC Asset and cost of such asset is to be settled on multiple assets then such Asset Class should have Line Item settlement Radio Button selected.

• If the Asset Class is created for Investment Measure, then such Radio button is to be selected.

POSTING RULES

Here you decide that this Depreciation should be posted in how many gap periods. 

G/L Accounts to be assigned to Account Assignment: (T-Code:AO90)

Note that those Depreciation Areas which are having the Posting in G/L as ‘Area Posts Depreciation Only’ will be seen in Depreciation Tab only and not in Balance Sheet Tab.

E.g. In current case Depreciation Area 20 is ‘Area Post Depreciation Only’ so such Depreciation Area will be seen in Depreciation Tab only and not in Balance Sheet Accounts Tab as shown below:

NOTE: This document will help for the points to be considered while implementing the Asset Accounting as well as useful for all the newly SAP joined people and alos for others. If any comments or any improvements to be made, then do revert. Your feedback is important for improvement.

Regards,

Malhar.