FI - Financial Accounting

Asset Accounting
AC305

Asset Accounting
 Chart of Accounts - Chart of Depreciation

Client
Chart of deprec. Chart of accounts
Country A
Book deprec.
Tax deprec.
Cost-acc. dep.
Group deprec.
:

Company code Company code Company code Company code

1000 2000 3000 ----
Chrt of acts. INT Chrt of acts. INT Chrt of acts. CAUS Chrt of acts. XXX
Chart of deprec. Chart of deprec. Chart of deprec. Chart of deprec.
1DE 1GB 1US 1XX

 SAP AG

 You can create a number of charts of accounts for Financial Accounting and a number of
depreciation areas for Asset Accounting in the system.
 General ledger accounts are defined on the level of the chart of accounts.
 You define the necessary depreciation areas in the chart of depreciation. You can define a
separate depreciation area for each type of valuation.
 You will usually want to create one chart of depreciation for each country. It makes sense for
all the company codes in a country or in a business/industrial sector to used the same chart of
depreciation.
 Each company code uses exactly one chart of accounts and one chart of depreciation.
 Several (all) company codes can work with one chart of accounts and one chart of depreciation.
 Asset Accounting Company Code

Chart of Chart of
accounts depreciation

Financial Accounting
Company Code

+
Data for Asset Accounting

=
Asset Accounting
Company Code

 SAP AG

 You have to set up company codes in Financial Accounting first.

 Then assign them to a chart of depreciation, and add the data necessary for Asset Accounting.
 You can use the company code for Asset Accounting only after making these modifications.
 Cost Accounting Assignment
Controlling
area
Client 1000
Company code
1000

Asset - Forklift Company code

1001

Cost center Vehicles

Cost center
Order
Vehicles
Depreciation
Book deprec. Act. Plan

Tax deprec.
Order
C-acc. deprec. Interest
Act. Plan

 SAP AG

 You can assign an asset to the following Controlling objects:

 cost center
 activity type
 order
 maintenance order
 When you assign an asset to a cost center, the system automatically assigns it to a controlling
area.
 A controlling area can include one or more company codes.
 Client - Asset Class
Assets Asset Classes
Astor House 1
Buildings
Asset Class Fixtures and fittings
Vehicle 4711
Vehicles Control data
Computer 11
Default values

Fixtures and Fittings

Printer 6C

Chart of deprec. Chart of deprec. Chart of deprec.

1DE 1US 1XX

Book deprec. Book deprec. Book deprec.

Tax deprec. Tax deprec.
Cost-acc.dep. Group

 SAP AG

 You create each asset in an asset class.

 Asset classes consist of a master data section and a section for determining values.
 The master data section must be assigned to at least one chart of depreciation. This assignment
enables you to complete the asset class with the data for determining values.
 You can suppress individual depreciation areas in each asset class, for example investment
support areas which are only applicable to certain classes.
 For each depreciation area, the depreciation terms for the assets can either be proposed by the
system with the option of changing, or they can be mandatory.
 Several charts of depreciation can also be assigned to an asset class. This ensures that the asset
class catalog is uniform despite using different depreciation areas.
 Functions of the Asset Class
Asset class

Account Screen Number Special Default Selection

allocation layout assignment features values features

Asset class Acct. determination

Bal. sheet items

Create Assets Liabilities

asset Asset portfolio
02200000
Real estate
Lathe
Machinery
...
Assets Fixtures+fit. 02115000
...
Financ. assets Drill
...
press
1

 SAP AG

 The asset class contains default values and control elements which are passed on to the
individual assets when you open a new asset master record.
 By entering useful default values, you reduce time and effort needed for creating new asset
master records. You also ensure that the records in a given class are handled uniformly.
 Number Assignment
Company code -
number assignment
1000 2000 3000

Company code
1000 1001 2000 3000

4711 4711 4711

Asset 4712 4712 4712
numbers
4713 4713 4713
4714 --- ---
4715
4716
--- ---

 SAP AG

 You enter the number range in the asset class. The number range controls the assignment of
asset numbers, and is defined either as internal or external.. Internal numbers are automatically
assigned by the system, external numbers are assigned by the user.
 You can assign a company code its own number ranges, or link it to those of other company
codes.
 You enter the company code for number assignment in the Asset Accounting company code (for
number assignment across company codes).
 Special Asset Class: Assets under Construction
Class: Assets u. const.
Transaction type groups
Extras
15 Down payment
16 Down payment carried forward
from previous years

 AuC managed as total

 line item settlement
AuC status  capital investment measure

depreciation deprec.
areas key
Book dep. 0000 depreciation is not calculated in
Tax dep. 0000 depreciation areas intended for the
Cost-acc. LINA balance sheet

negative values allowed

 SAP AG

 Assets under construction require their own asset class.

 Choosing the depreciation key ‘0000’ ensures that depreciation is not calculated for the asset
under construction in depreciation areas that are posted to the balance sheet (in accordance with
the legal requirements in most countries). However, special tax depreciation and investment
support are possible even on uncompleted assets.
 Assets under construction have to be shown separately in the balance sheet.
 It is possible to post down payments on assets under construction if you enter transaction type
group 15.
 You can enter credit memos on the asset under construction after its complete capitalization, if
you allow negative acquisition and production costs (APC).
 The component IM (Investment Management) is available for managing more extensive asset
investments from a controlling-oriented perspective.
 Special Asset Class: Low Value Assets

Asset class - Depreciation area

Low value assets - Individual check

Exactly 1 asset per master record
or
Low value assets - Quantity check
Any number of assets per master record

When posting: Check against

 the allowed maximum amount

 SAP AG

 You can choose whether to manage low value assets (LVAs) using individual management or
collective management.
 For each type of management, you have to set up a separate asset class.
 If you choose collective management of LVAs, you have to enter a base unit of quantity in the
asset class.
 You request the maximum amount check in the depreciation area in the asset class. You enter
the maximum allowed amount in the IMG under “Activities” at the level of the company code.
 Creating the Asset Master Record

Create
asset

using asset class using a reference

taking over the default 'copying' an

values from the asset class existing asset

 SAP AG

 When you create the asset master record, you have two options:
 You can use the asset class, to which the asset will belong, to provide default values. The
asset class then supplies the most important control parameters in the asset master record.
 Or you can use an existing asset as a reference for creating the new asset master record.
(Possibly the reference asset has default values that are more suitable than those in the asset
class.)
 Enter additional information, such as an asset text.
 When you save, you receive an asset number (if the asset class is assigned to a number range
that uses internal number assignment).
 This asset number is also the account number of the individual asset account.
 Time-dependent Data

ASSET MASTER RECORD

- Time-dependent data -
New Interval

Calendar
Enter period under consideration

01 Valid from
Valid to
MMDDYYYY
MMDDYYYY
Month

Cost center A from 01/12/YY to 08/27/YY

Cost center B from 08/28/YY to 11/30/YY
Cost center C from 12/01/YY to 03/14/YY
. . . . .
. . . . .
. . . . .

 SAP AG

 Some information in the asset master record can be managed as time-dependent data. This is of
particular significance for cost accounting assignments (for example, cost center, order,
project). Shift operation and asset shutdown, both of which can have a direct effect on
depreciation, should also be recorded on a monthly basis as part of this time-dependent data.
 The history of time-dependent assignments is stored in the system over the entire life of an
asset.
 Changing Assets
Change asset Display asset
Environment
Asset
Change documents for asset
Cost center X
on asset on field

List of fields that List of

were changed changes per field

Field 1 2x Change 1
Document for this Field 2 Change 2
field change Field 3 Change 3
Document number
2x
Date of change
Name of user who
made change Document for this change
Fields changed complete change All for DOCUMENT NO:
Old and new document with DATE:
contents of field all fields document CHANGED BY:
OLD/
NEW FIELD CONTENTS

 SAP AG

 Each time you change an asset master record, the system creates a change document, which
contains all necessary information.
 When a large number of assets are affected by a change, you can make a bulk change. Using
this procedure, you can carry out freely-definable master data changes, mostly automatically.
(An example is the change of assignment to a cost center when the cost center plan has been
changed.)
 The Asset Sub-number

Asset number 4711

Production plant Synthetic material

Sub-number Sub-number Sub-number Sub-number

1000 2000 3000 9000
Reactor De-aerator Extruder Pipe

 SAP AG

 If an asset consists of several components, it might be advisable to manage the individual

components separately as sub-number master records. This might be useful for both technical
and accounting reasons. You might divide up assets by sub-number, if :
 you want to manage the values for subsequent acquisitions in following years (for example
buildings) separately,
 you want to manage the values for individual parts of assets separately,
 you want to divide the asset according to various technical aspects.
 You can work directly with a specific sub-number, all sub-numbers belonging to an asset, or a
selection from a list display of sub-numbers. You can also evaluate accumulated depreciation
and the book values for previous fiscal years separately for the individual asset components.
 Asset Accounting as Subsidiary Ledger

Material Customer

G/L Accounts
General Ledger
Vendor
Fixed assets Payables

1000 1000
Asset Vendor
Machine press

1000 1000

 SAP AG

 Along with the integration of accounting and logistics functions, the integration of the subsidiary
ledgers with the general ledger is also extremely important. Every transaction in customer and
vendor accounts in Accounts Payable and Accounts Receivable, and in the asset accounts has a
direct affect on the corresponding accounts of the general ledger. The subsidiary ledgers are
reconciled with the general ledger in this way.
 Asset Acquisition - Integration
MM

Goods
receipt
document

Asset

Depreciation areas
Posting
document Book Tax C-acc ... Transactions
FI . ... ... ...
. 2000.- 2000 1800 2100 Acquisitions
.

line items Retirements

Settlement of
order/project

CO

 SAP AG

 The acquisition posting can be created in the department that is primarily responsible for the
transaction.
 “Acquisition from vendor” is when an asset is obtained from a business partner (as opposed
to “Acquisition from in-house production). This acquisition of an asset from a third party
can be posted in different ways, and in different organizational units (R/3 components):
- in Asset Accounting (FI-AA), without reference to a purchase order, but integrated with
Accounts Payable
- in Asset Accounting, without reference to a purchase order, and without integration with
Accounts Payable (posting to a clearing account - with/without clearing)
- in Materials Management (MM), with reference to a purchase order, at goods receipt or
invoice receipt
 “Acquisition from in-house production”" is the capitalization of goods or services that are
partially or completely produced in your own enterprise. For these in-house produced goods
(such as replacement parts) or services (such as maintenance measures), you have to
capitalize costs to assets that were also produced in your enterprise. Generally, you carry out
the capitalization of production costs or maintenance by settling an order to an asset. For
more information, see the documentation for the R/3 System CO-OPA (Order Project
Accounting - R/3 library). If there is no order, you can also manually post production or
maintenance costs to an asset.
 Procedure for Integrated Asset Acquisition
Integrated- posted to vendor
Posting:

Doc. date Doc. type Company code

Posting date

PK 70 Account Asset Trans. type 100

Asset line
Amount Tax amount
Tax indicator
Asset value date

PK 31 Account Vendor

Vendor line

Amount
Tax indicator

Post
 SAP AG

 You can post to the asset and to the vendor in one document in Asset Accounting, using the
menu path Postings → Acquisition → External acquisition → with vendor in the Asset
Accounting menu.
 You can freely determine the sequence of the posting lines.
 The posting “debit asset, credit vendor” is often made in Accounts Payable. This posting then
fills the requirements of both Financial Accounting and Asset Accounting at the same time.
 Asset Acquisition with MM
Controlling PO
Purchaseorder com m itment Preliminary
requests Cost Actual
Cost center actual
center or order or order

Logistics
Purchase Purchase Goods Invoicereceipt
order order receipt (preliminary
request entry)

Asset
Accounting valuated
Capitalization
Asset master record or
unvaluated of asset

Financial
Accounting
G/L Re- G/L Payment
AP
lease

 SAP AG

 When you are using both the FI-AA System and the MM (Material Management) System, you
can also post an asset acquisition within the framework of purchasing (see the System
Administration Guide ). Unlike most other accounting transactions, this involves working
through a series of steps to be performed at different times:
(1). creation of a purchase requisition
(2). creation of the purchase order
(3). There are a number of different possibilities for the next step:
- The goods receipt takes place before the invoice receipt and the values are not yet posted to
Asset Accounting. The line items are created and the values are updated instead at the time
of the invoice receipt. However, the system uses the date of the goods receipt as the
capitalization date.
- The goods receipt takes place before the invoice receipt and the values are posted directly to
Asset Accounting. The asset is capitalized, line items are created, and the value fields in the
asset are updated. When the invoice is received later, there may be differences between the
invoice amount and the amount posted at the time of the goods receipt. In this case, the
corresponding adjustment postings are made to the asset.
- The invoice receipt takes place before the goods receipt. The asset is capitalized, line items
are created and the value fields are updated.
The account assignment type (A=asset) determines whether the goods receipt is posted
directly to Asset Accounting or not. For business accounting purposes, it makes sense to
post the goods receipt directly to Asset Accounting, since this date is usually date that
determines when the asset belongs to the enterprise.
 Asset Acquisition - Value Fields
Depreciation calculation
Document

Asset value date:

09/01/CY
Master Record
Depreciation Depreciation Dep. start
area key

01 LINR 07/01/CY
: (str.-line, half yr. rule)
:
20 LINA
09/01/CY
(str.-line, pro rata)

Value fields
Useful life = 10 years
annual dep. = 1000
Depreciation area Dep. start Planned dep.
01 07/01/CY 500
20 09/01/CY 333

CY = Current year

 SAP AG

 The system uses the asset value date of the initial acquisition posting to determine the
depreciation start date of the asset. This determination takes place using the control of the
depreciation start in the depreciation key of the asset. The system enters this start date in the
asset master record.
 The system determines the planned annual depreciation and the planned interest.
 When further transactions are posted to the master record, these values are corrected acordingly.

Caution: The posting date and the asset value date always have to be in the same fiscal year!
 Procedure for Asset Retirement
Integration with FI

Example of partial
retirement : - Acquis. date 01/01/YYYY- 2, APC 10000
- Retmt. of 50% of APC on 07/01/YYYY
- Revenue 3000 + 300 sales tax

Posting:

Document date 07/01/YYYY

Posting date 07/01/YYYY

PK 01 Account: Customer Asset............... ASSET NO.

Sub-number...
Customer line
Transaction type.. 210
Amount 3300
Calc. tax Tax indicator Ast value date... 07/01/YYYY
Max. amount........
PK 50 Account:Revenue from asset retmt.
Quantity...............
Revenue line Percentage rate...... 50
Amount * Tax indicator

Asset retirement
 SAP AG

 Select the field “asset retirement” in the revenue account. You reach a window, in which you
can enter
 the number of the asset
 the retirement transaction type
 the asset value date
 the portion of historical APC being retired, or the indicator for complete retirement.
 Accounts for Asset Retirement
Example for partial
retirement: - Acquis. date 01/01/YYYY - 2, APC = 10000
- Retirement of 50% of APC on 07/01/YYYY
- Revenue 3000 + 300 sales tax

A/R posting

Retirement
Customer revenue Tax
3300 3000 300

Assets posting

Clearing of
Asset retirement Loss
1 10000 5000 2 3000 750
3 1250

1 APC
2 amount retired
3 proportional value
adjustment
 SAP AG

 In Asset Accounting, you can post a retirement with the function Postings → Retirement →
Asset sale → No customer for entering asset transactions. The accountant responsible for
accounts receivable must then carry out the revenue posting, if necessary.
 Both these procedures can also be performed in one function, that is with one document. This
involves three steps:
 Create the invoice lines in the customer open line item account.
 Post the invoice to the customer open line item account.
 Post the APC being retired to the asset.
 The system automatically posts the proportional accumulated depreciation of the asset and the
gain or loss from the sale.
 Asset Transfer
Business area 1000
Business area 2000

Asset XXXX
transfer to
Posting date MMDDYYYY
Transaction type 300 Asset ZZZZ
Asset value date MMDDYYYY
Complete transfer

!
automatic determination
Posted amount ....
and posting of proportional
value adjustments Percentage rate

 SAP AG

 Asset Accounting distinguishes between the following types of transfer, depending on the
circumstances:
 Stock material (current assets) is transferred to a fixed asset, for example, the installation of a
replacement part (see online documentation for a detailed explanation of the procedure).
 An asset under construction is settled and transferred to a completed asset.
 You transfer an asset within a corporate group to a different company code. This procedure
is described in the section for asset transfer (see online documentation for a detailed
explanation).
 You want to split up an asset or install part of an asset in another asset (transfer from asset to
asset). (See ‘change of location’ below for an explanation of the procedure.)
 The asset has changed location. As a result, you have to change organizational allocations
(such as, asset class, business area) in the master record that cannot otherwise be changed.
- Enter a transfer transaction type. In the screen that follows, enter the asset to which you
want to make the transfer, and the amount of APC that is being transferred.
- The system automatically determines the proportional value adjustments, as it does for
retirements.
 Assets under Construction
Asset under
Down payments Acquisitions
construction
Special Investment
depreciation support measures

s
General master datan Depreciation areas
io
it rs
is fe Automatic handling of special
u s
Completed assets q n depreciation and investment support!
c
A ra
T
Asset 3 Asset history
Asset 2 sheet
Asset 1 Acquis. Retmt. Transfers
Gen. master Depreciation A.u.C.
data areas Buildings

 SAP AG

 Assets you produce yourself have two phases that are relevant to Asset Accounting:
 the under construction phase
 the useful life.
 Generally, the assets have to be shown in two different balance sheet items during these two
phases. Therefore, they have to be managed using a different object or asset master record
during the under-construction phase than for the completed asset. The transfer from the under-
construction phase to completed asset is referred to here as “capitalization of the asset under
construction.” You can manage assets under construction in the FI-AA System in two ways
(depending on the functions you need):
 as a 'normal' asset master record
 as an asset master record with line item management.
 The capitalization of the asset under construction is basically the transfer to a completed asset.
This transfer is handled differently in the two instances.
 When you capitalize the asset under construction, the system automatically separates the
transactions from the previous year from the transactions from the current year:
TTY 340 - Acquisitions from previous years transferred from asset under construction
TTY 341 - Acquisitions from previous years transferred to completed asset
TTY 345 - Acquisitions from current year transferred from asset under construction
TTY 346 - Acquisitions from current year transferred to completed asset
 If you have more extensive capital investment measures, we recommend using the R/3 IM
(Investment Management) System. Using this system, you can represent capital investments
simultaneously as assets under construction (for accounting purposes) and internal orders or
projects (for controlling purposes). For more information, see the documentation for the IM
(Investment Management) System.
 Line Item Settlement of Asset under Construction
Supplier
Withdraw from Asset u. Const.
stock
Internal activity Invoice
Order 100% Office building
Engineers, Inc.
steel girders 1
excavation 70%
A
S
S
Invoice E
20% Heating system
Constructo, Inc. T
S
beams
construction
2 10% Lighting
Invoice
Electro, Ltd.
80%
copper cable

10% Cost Center EX-

Installation 3 PENSE

 SAP AG

 When performing a line item settlement of an asset under construction to one or more completed
assets, you should proceed as follows:

1. Select all line items which you want to settle in the same proportion to the same receiver.

2. Define the distribution rule for these line items.

3. Post the settlement of line items in the desired manner to the specified receivers.

 Please note that this posting procedure settles all line items to which a posting rule is allocated.
 Asset Classes in the Chart of Depreciation
1

Class Machines

Chart of Germany USA

depreciation

Areas Book dep. Tax dep. Group Book dep. Group ACRS
... ...
DG30 SNFG LINR LINB LINR ....
Depreciation decl-bal. invest. str.-line str.-line str.-line ....
key 3X support ....

Proposed 10/00 10/00 8/00 _ 8/00 ....

useful life
Minimum _ _ _ 8/00 _ _
useful life
Maximum _ _ _ 12/00 _ _
useful life

 SAP AG

 You can define any number of asset classes in Customizing. You use the asset classes to
categorize assets according to the needs of your enterprise. The asset classes are valid across
company codes. The catalog of asset classes, therefore, applies uniformly to all company codes.
This is true, even if the company codes use different charts of depreciation, and therefore
different depreciation areas.
 You can assign different charts of depreciation to an asset class, so that all assets in this class
will be treated differently in each country.
 Depreciation Area XX in the Asset or Asset Class

Depreciation key What kind of depreciation?

Useful life For how long?

Years
Calendar

Jan
Ord. deprec. start 01
When does the useful life begin?

When do you want to change from

Changeover year declining balance to straight-line
depreciation?
Do you want to calculate annually
Index increasing replacement values?
How much depreciation should be
Variable dep. amount weighted by the shift factor when you
use shifts?

Scrap value Do want to end depreciation when

this scrap value is reached?

 SAP AG

 You have to enter depreciation keys in the different depreciation areas. The depreciation key
contains all the control amounts for the calculation of planned annual depreciation. You can
enter a depreciation key in the asset master record in each depreciation area.
 Depreciation Key

Master record
Depreciation Depreciation
area key
Internal Calculation Key
01 LINR
: (straight-line, 1st yr.conv.) Ordinary depreciation
: Special depreciation
20 LINA Interest
(straight-line, pro rata) Cut-off value key

controls

- depreciation type
- class
- method
- base value
- declining balance deprec.
- changeover
- period control

 SAP AG

 You can manage different types of depreciation in parallel in one depreciation area.
 You specify the automatic calculation of the different types of depreciation using depreciation
keys and the internal calculation key.
 You define the required depreciation keys per chart of depreciation.
 In the depreciation key , you can enter a separate calculation key for ordinary depreciation,
special tax depreciation and for the calculation of interest.
 In addition, you can enter a cut-off value key for the calculation of a scrap value, if this is
needed.
 The internal calculation keys specify the actual method of calculation.
They control the
 depreciation type
 method
 base value
 percentage rate
 period control
 changeover
 calculation after end of useful life
 treatment of shutdowns
 validity of calculation key
 Elements of Depreciation Calculation
Depreciation Base Decl.-balance Period
type Methods value depreciation control
l Ordinary lD Percentage l Acquisition l Multiplication l Pro rata per start
depreciation rate from useful value factor of period
l Special tax life l Half of l Maximum l Pro rata to mid-
depreciation lG Full acquisition percentage rate period per start of
l Interest percentage in value l Minimum period
concession l Replacement percentage rate l Pro rata per mid-
period value period
lP Explicit l Net book value l First year
Class percentage rate
l . . .
Changeover convention of a
lM Mean value half year
from several l Per start of fiscal
l Straight-line areas l Changeover
method year
depreciation lS Unit of prod.
l Changeover l Per mid-year
l Decl.-balance / Total number
depreciation of units depreciation key l Per year-end
l Net book value (= start in next
l Other l . . . year)
depreciation for initiating
depreciation l Per mid-quarter
l No assignment changeover

 SAP AG
 Every transaction on an asset master record automatically results in a depreciation amount being
calculated. This amount is calculated according to the depreciation key in the asset master, and
is displayed in the value fields of the asset. The most important influences on the calculation of
depreciation are:
 the value date of the document: it controls, in conjunction with with the depreciation key, the
determination of the period. It is used to set the depreciation start date in the asset.
 the depreciation key
 the transaction type
 The depreciation calculation method is the most important feature of the internal calculation
key. It is used to carry out the different types of depreciation calculation in the system. It
determines which other settings of the calculation key are required entries and which are not.
 The base value is closely related to the selection of the depreciation method. Since many
depreciation methods cannot be used with all base values, the depreciation method often
determines the base value.
 The period control determines the start and end date for depreciation. You can specify a period
control for each of the four transaction types (acquisitions, subsequent acquisitions/post-
capitalization, transfers, retirements). In this way, you can set the start of depreciation at the
beginning of the year for all acquisitions in a year, and the end of depreciation for retirements
either at the first or last day of a period, for example. The system uses the value date of the
transaction (acquisition or retirement) as a basis, and then determines the start or end of
depreciation by means of the period control.
 Periodic Processing - Overview
Settings Depreciation Primary cost
Index figures posting run planning
Year Index fig.
yyyy 100.000
yyyy+1 105.125
yyyy+2 109.857
... CO
Fiscal Year change/
Year-end closing
Periodic Cost center Order
Calendar
processing ACTUAL PLAN
Dec
Fiscal year change
31
Investment
Year-end closing
support

Calendar

Dec Posting asset values Revaluation

Fiscal year change Depreciation area XY:
XY: Example
31
à periodic posting of asset values
Asset balance Account
10000 10000
 SAP AG

 Periodic processing comprises those tasks in Asset Accounting which must be performed at
periodic intervals. Also included are tasks to be performed as part of the special valuation of
fixed assets (for example, calculating replacement values).
 Replacement values and insurable values are updated in the system with the help of index
series. You need to define the characteristics of the index series in Asset Accounting
Customizing. The specification of current index figures is a regular Asset Accounting task.
 Investment support is a subsidy which a company has received for certain asset investments.
Assets which are eligible for such a subsidy are marked in the asset master records with an
investment support key (for further information, see the System Administration Guide). All
specifications for claiming the investment support are stored in the definition of this key. You
can post the claim manually or in a mass procedure.
 At present only the values of one depreciation area can be automatically posted online in
Financial Accounting: Therefore, the changes to asset values (transactions) from other areas
with automatic posting have to be posted periodically to the appropriate reconciliation
accounts. In the case of derived depreciation areas which do not record acquisition and
production costs, the program posts proportional value adjustments due to retirements,
transfers, post-capitalization and so on.
 If you want to plan primary costs on a cost center basis, you can periodically determine
planned depreciation and interest and pass these on to primary cost planning in the CO system
via a report.
 Depreciation Posting Program
Dep. FI
Ordinary
-
Accounts
depreciation P
O
S
Special T
depreciation I
N FI-AA
G Individual assets
manually
planned P
deprecia-
tion R
O
G
R CO
A
M Cost center Order
Periodic
Cost element
revaluation
Interest
. . .%. .
10
Index

 SAP AG

 The calculation and planning of depreciation, interest and revaluation is controlled by keys in
the Asset Accounting system. They can also be entered manually using a special posting
transaction (for more information, see current-value depreciation). In both cases, these planned
values in Asset Accounting have to be periodically posted to the corresponding expense and
asset balance sheet accounts in the general ledger. This periodic posting takes place using a
batch input session. The posting session also posts the different depreciation types, interest and
revaluation, in addition to the writing-off and allocation of special reserves. The system does
not create individual documents, only summarized posting documents (per general ledger
account).
 Year-end Closing
Asset history sheet
Depreciation lists
Assets Acquis. Retmt. Transfer Closing
... ... ... balance
Depreciation

Adjustment posting
OK? No
Yes (Bulk) changes
Depreciation posting

Dep. simulation
Bal P&L

OK? No
Yes
Year-end closing
program

OK? No
Yes
Archiving
SAP AG

 After the depreciation lists and asset history sheet have been checked, depreciation is posted.
 Once depreciation has been posted, a balance sheet and profit and loss statement can be created
in FI.
 If the final result is not satisfactory, you can carry out depreciation simulation or (bulk)
changes, or make adjustment postings.
 If you change any depreciation values, you must run depreciation posting again..
 The logical year-end closing is completed with the final balance sheet.
 The year-end closing program then makes all necessary system checks.
 If no errors are found, the program blocks posting in Assets Accounting for the closed fiscal
year.
 If a closed fiscal year is subsequently released for posting, it can only be blocked again once the
year-end closing program has been re-run.
 Asset Value Display

Asset value display

Goods
Posting receipt
document document
Display values .
. 2000.-
.
one year, one area
Display of documents
one year, several areas
for the asset
Simulated fiscal
year change
several years, one area
current Depreciation on
book values transactions
several years, several areas
dep. terms

with simulated change of dep.recalculation

depreciation terms display dep.
calculation
with simulated transactions
all values
 SAP AG

 The asset value display offers extensive possibilities for evaluating individual asset master
records.
 By entering the sub-number “*”, you can request cumulative evaluations for a main number and
the sub-numbers belonging to it.
 The function “display depreciation calculation” provides a detailed display of the calculation of
depreciation in the system.
 You can start reports from within the asset value display transaction via the menu option
Environment.
You specify the reports(with different selection versions) that can be started from the respective
menu
 Asset Simulation
Simulation version
- depreciation areas P+L
- asset class Display asset
- depreciation key Operating profit
values
- useful life
with spec. dep.
- valid from / to
Report for all
w/out spec. dep.
assets
Simulated
asset transactions

Asset values
- acquisitions
- retirements
Use
- transfers . li f
e5
... yr.

U
se
.
lif
e
4y
Simulated

r.
depreciation terms Time
Course of depreciation for
- depreciation key Individual assets Development of asset values
Asset class: Vehicles

Net book value

- useful life
- index

Time

 SAP AG

 Simulation, in this context, refers to an experimental change to parameters affecting the

valuation of assets. This change can apply to a single asset, the entire asset portfolio (or parts
of it), or to a test depreciation area. This change is carried out by means of a transaction or a
standard report. When you simulate the development of asset values, you can change all of the
important depreciation terms (depreciation key, useful life, index series). Two types of
simulation should be distinguished:
 simulation of depreciation for future fiscal years, using a special simulation report and
simulation version
 simulation of accumulated depreciation in the past, using a new depreciation area
 You can also include planned capital investments (in the form of orders or projects and capital
investment programs) in the simulation.
 Sort Criteria
Sort version 001
Balance sheet perspective,
management perspective, Field Total
and more...
BUKRS Company code 
Report call-up GSBER Business area 
Total/individual ERGSO Bal. sheet item 
Ranking list KTANSW Bal. sheet acct. 
Sort version 001 ANLKL Class 

Report definition
Ranking Individual Totals
list list report
Assets Values Assets Values Sort.... Values
1000
900
700
600 *

 SAP AG

 All reports allow you to sort/total data in different ways using freely definable sort criteria.
 A sort version consists of a maximum of 5 sort levels which are determined via Data Dictionary
fields. You can call up the technical field names of the required fields using F4. The sort levels
are found in the table ANLAV (asset master data). For lists which process exactly one
depreciation area (for example, the depreciation list), you can also use sort levels from table
ANLB.
 The report can output a total and a statistic for each sort level.
 In the column ‘Total’ you can specify the levels on which you want totals to be output.
 By selecting the indicator 'Statistics' it is also possible to further break down the total of a
level in some lists. You can get a breakdown by depreciation key (for depreciation lists) or
transaction type (for transaction lists).
 Generally, you can use any sort version with any report.
 Transfer of Old Assets Data
Previous system
Automatic transfer
Batch input procedure
(Direct data import)

FI-AA
or
Dialog transfer
(for small volume of data)

Create
old asset
Ass
ets

 SAP AG

 Data transfer from a previous system is usually the first activity you need to perform in a new
productive system after configuration and asset classification. You can either transfer data
automatically from an old system using a batch input procedure, or you can manually enter the
data using a transaction for old asset data. Please note that in both cases only the relevant asset
master data and line items in Asset Accounting are updated and not the general ledger accounts
in Financial Accounting. Balance reconciliation with the relevant general ledger accounts must
therefore take place separately.
 Transferring Old Data at Fiscal Year End
Previous system
Asset 1 Asset 2 Asset u. cons.
10000 2000 20000 4000 100
300
SAP System
FI-AA
Asset 1 Asset 2 Asset u. cons.
10000 2000 20000 4000 100
300

FI
Non-curr. assets AuC G/L account
30000 400

Value adjustments
6000

 SAP AG

 The transfer date is the cut-off point in time for the transfer of data from your previous system.
The date represents the status of posting (balances) effective for the transfer of old data. If the
transfer date is the end of the last closed fiscal year, you transfer only the master data, the APC
and the accumulated depreciation as they stood at the end of the last closed fiscal year. You also
have to transfer the balances of the corresponding general ledger accounts at this same level.
 Automatic Transfer of Old Assets Data
Previous system

Interface program
Old data in transfer format
BALTD + BALTB

Transfer program RAALTD01

Records without errors Records with errors Batch

Input

DIALOG INTERFACE

ANLH
ANLA
ANLB
ANLC
 SAP AG
:

 Using an interface program, you convert the old data in your previous system to the format of
the Dictionary tables BALTD (master data) and BALTB (transaction data) and place them in a
sequential file.
 The old assets data transfer program RAALTD01 supplies the data, using background
processing, to an old assets data transfer transaction. The records without errors are transferred
immediately. Records with errors are stored in the form of a batch input session, and have to be
processed later.
 The documentation for the RAALTD01 program contains detailed instructions for
 the structuring of the sequential transfer file by the interface program
 test options
 avoiding errors and interpreting errors that occur
 the procedure in the event of program termination.