Asset Accounting

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Define Chart of Depreciation EC08

Assign Chart of Depreciation to Company Code OAOB
Specify Number Assignment Across Company Codes AO11
Specify Account Determination : Account Determination links an asset master record to the
general ledger accounts to be posted for an accounting transaction using the asset class
Account Determinations are defined and maintained in the asset classes.
Create Screen Layout Rules
Define Number Range Interval : AS08
Define Asset Classes : OAOA
Define Screen Layout for Asset Master Data :

9. Define Screen Layout for Asset Depreciation area : AO21

10. Define how depreciation areas post to General Ledger : OADX
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Specify document types for posting of depreciation : AO71

Specify Intervals and Posting Rules : OAYR
Define Depreciation Areas : OADB
Specify transfer of APC Values : OABC
Specify transfer of Depreciation Terms : OABD
Determine depreciation areas in the asset class : OAYZ
Specify Amounts for Low Value Assets : OAYK
Specify rounding of net book value/ depreciation : OAYO
Specify depreciation area for group assets : OAYM
Specify asset classes for group assets OAAX
Determine depreciation areas for ordinary depreciation : OABN
Assign Accounts for Ordinary Depreciation : AO93
Determine depreciation areas for unplanned depreciation : OABU
Assign Accounts for Unplanned Depreciation : AO95
Define Transaction types for unplanned depreciation : AO78
Define Depreciation Keys : OA27
Define period control : OAVS
Define calendar assignments : OAVH
Define multi level methods : AFAMA
Define Period Control Method : ANHAL
Define Transaction Types for Acquisitions : AO73
Assign Accounts for Acquisition : AO85
Define transaction type for retirements : AO74
Determine Posting Variants : AO74
Define transaction types for capitalisation of asset under construction : OAXG
Define/ Assign Settlement Profiles : OK07
Define Asset History Sheet Versions : OA79

a. Organistional Setup like Asset Class, Chart of Depreciation, Depreciation Areas

b. Account Determination with GL, Reconciliation between GL & Asset
c. Use of Depreciation keys, Period Controls, and levels
d. Use of Asset Transaction Types & Asset Under Construction
e. Important AA tables like ANLA, ANLB, ANLC, ANEP, ANEK
f. Migration of Legacy data using LSMW, AS91 to 93.
g. Typical Closing Activities Depr Run etc., (Monthly) and Fiscal Year Close, Revaluation, Carry Forward (Yearly)
1) What is Asset History? ( OAOA)

ANS:Asset History can be displayed using report S_ALR_87012075. In this report, system will display the
details of the Asset. You can also view the Asset postings using Asset Explorer AW01N.
2) How the data flows from Asset Accounting to Controlling?
ANS:In Asset Master in Time dependant tab you maintain the Cost Object - Cost Center. Through this link
data flows to CO Module. Basically, the depreciation postings are updated in CO Module.
3) When the asset value is zero and the Company is still using the asset then, how the Company generally proceed
to calculate depreciation further? (Curb) (SPRO>Financial Accounting>Asset Accounting>Depreciation>Valuation
Methods> Depreciation Key>Calculation Methods> Define Base Methods)
ANS:When the Asset value is reduced down to 0, you can not continue calculating depreciation. Company
can continue to use the asset as long as they want, but can not charge any depreciation for that asset
4) In asset accounting, why 0% Tax code is created for not taxable transaction and why it is compulsory to do it
before assigning the chart of depreciation to company code?
ANS: While posting some transactions tax may not be required even though those are tax effected
accounts... for that you need configure for tax codes for non-taxable transactions.
5) What configuration is required to bring all the Fields in depreciation area tap of Asset master creation?(AO21)
and (AS01)
[If we make any changes in Tcode AO21 and they are not getting reflected in depreciation area (Last Tab) in creation
of asset master (AS01). So how to make the configuration to get those changes reflected in dep. area (last tab) in
creation of asset]
ANS:There are no specific settings needed other than AO21. Please check whether maintainance level is at
main asset.
6) What are difference between Germany Chart of Dep. and Great Britain Chart of Dep. (UK)?

What are the organizational assignments in asset accounting?

Chart of depreciation is the highest node in Asset Accounting and this is assigned to the company code.
Under the Chart of depreciation all the depreciation calculations are stored.

How do you go about configuring Asset accounting?

The configuration steps in brief are as follows:a) Copy a reference chart of depreciation areas
b) Assign Input Tax indicator for non taxable acquisitions
c) Assign chart of depreciation area to company code
d) Specify account determination
e) Define number range interval
f) Define asset classes
g) Define depreciation areas posting to general ledger

h) Define depreciation key

Explain the importance of asset classes. Give examples?
The asset class is the main criterion for classifying assets. Every asset must be assigned to only one
asset class. Examples of asset class are Plant& Machinery, Furniture & Fixtures, Computers etc. The
asset class also contains the Gl accounts which are debited when any asset is procured. It also contains
the gl accounts for depreciation calculation,scrapping etc
Whenever you create an asset master you need to mention the asset class for which you are creating the
required asset. In this manner whenever any asset transaction happens the gl accounts attached to the
asset class is automatically picked up and the entry passed. You can also specify certain control
parameters and default values for depreciation calculation and other master data in each asset class.
How are depreciation keys defined?
The specifications and parameters that the system requires to calculate depreciation amounts are
entered in Calculation methods. Calculation methods replace the internal calculation key of the
depreciation key. Depreciation keys are defaulted in Asset Master from the asset class.
Refer to the configuration for more details of how depreciation is
calculated.
A company has its books prepared based on Jan Dec calendar year for reporting to its parent
company. It is also required to report accounts to tax authorities based on April- March. Can
assets be managed in another depreciation area based on a different fiscal year variant?
No. Assets accounting module cannot manage differing fiscal year variant which has a different start
date (January for book depreciation and April for tax depreciation) and different end date (December for
book depreciation and March for tax depreciation). In this case you need to implement the special
purpose ledger.
What are the special steps and care to be taken in Fixed asset data migration into SAP system
especially when Profit center accounting is active?
Data migration is slightly different from a normal transaction which happens in Asset accounting module.
Normally, in asset accounting the day to day transactions is posted with values through FI bookings and
at the same time the asset reconciliation is updated online realtime. Whereas In data Migration the asset
master is updated with values through a transaction code called as AS91. The values updated on the
master are Opening Gross value and the accumulated depreciation. The reconciliation GL account is
not automatically updated at this point of time.
The reconciliation accounts (GL codes) are updated manually through another transaction code called as
OASV.
If profit center is active, then after uploading assets through AS91 youshould transfer the asset balances
to profit center accounting through a program.
Thereafter you remove the Asset GL code (reconciliation accounts) from the 3KEH table for PCA and
update the Asset reconciliation account (GL code) through OASV. After this step you again update the
Asset reconciliation account in the 3KEH table. The reason you remove the Asset reconciliation code
from 3KEH table is that double posting will happen to PCA when you update the Asset reconciliation
manually.
Is it possible to calculate multiple shift depreciation? Is any special configuration required?
Yes it is possible to calculate multiple shift depreciation in SAP for all types of depreciation except unit of
production. No special configuration is required.

How do you maintain multiple shift depreciation in asset master?

The following steps are needed to maintain multiple shift depreciation:
1. The variable depreciation portion as a percentage rate is to be maintained in the detail screen of the
depreciation area.
2. The multiple shift factor is to be maintained in the time dependent data in the asset master record. This
shift factor is multiplied by
the variable portion of ordinary depreciation.
Once you have done the above the SAP system calculates the total depreciation amount as follows:Depreciation amount = Fixed depreciation + (variable depreciation * shift factor)
Lets say you have changed the depreciation rates in one of the depreciation keys due to changes
in legal requirements. Does system automatically calculate the planned depreciation as per the
new rate?
No. System does not automatically calculate the planned depreciation after the change is made. You
need to run a program for recalculation of planned depreciation.
What are evaluation groups?
The evaluation groups are an option for classifying assets for reports or user defined match code (search
code). You can configure 5 differentevaluation groups. You can update these evaluation groups on to the
asset master record.
What are group assets?
The tax requirements in some countries require calculation ofdepreciation at a higher group or level of
assets. For this purpose you can group assets together into so-called group assets.
What are the steps to be taken into account during a depreciation run to ensure that the
integration with the general ledger works smoothly?
For each depreciation area and company code, specify the following:
1 The frequency of posting depreciation(monthly,quarterly etc)
2 CO account assignment (cost center)
3 For each company code you must define a document type for automatic depreciation posting: This
document type requires its own external number range.
4 You also need to specify the accounts for posting. (Accountdetermination)
Finally to ensure consistency between Asset Accounting and Financial Accounting, you must process the
batch input session created by the posting report. If you fail to process the batch input session, an error
message will appear at the next posting run. The depreciation calculation is a month end process which is
run in batches and then once the batch input is run the system posts the accounting entries into Finance.
How do you change fiscal year in Asset Accounting?
Run The fiscal year change program which would open new annual value fields for each asset. i e next
year
The earliest you can start this program is in the last posting period of the current year.
You have to run the fiscal year change program for your whole company code.
You can only process a fiscal year change in a subsequent year if the previous year has already been
closed for business.
Take care not to confuse the fiscal year change program with year-end closing for accounting purposes.
This fiscal year change is needed only in Asset Accounting for various technical reasons.

Is it possible to have depreciation calculated to the day?

Yes it is possible. You need to switch on the indicator Dep to the day in the depreciation key
configuration.
Is it possible to ensure that no capitalization be posted in the subsequent years?
Yes it is possible. You need to set it in the depreciation key configuration.
How are Capital Work in Progress and Assets accounted for in SAP?
Capital WIP is referred to as Assets under Construction in SAP and are represented by a specific Asset
class. Usually depreciation is not charged on Capital WIP.All costs incurred on building a capital asset
can be booked to an Internal Order and through the settlement procedure can be posted ontoan Asset
Under Construction. Subsequently on the actual readiness of the asset for commercial production, the
Asset Under Construction gets capitalized to an actual asset.
The company has procured 10 cars. You want to create asset masters for each of this car. How do
you create 10 asset masters at the same time?
While creating asset master there is a field on the initial create screen called as number of similar
assets. Update this field with 10. When you finally save this asset master you will get a pop up asking
whether you want to maintain different texts for these assets. You can update different details for all the
10 cars.

What steps do you have to take into account to ensure that integration into the general ledger for the
depreciation posting run works?
For each depreciation area and company code, specify the following:

the frequency of posting depreciation(monthly,quarterly etc)

CO account assignment (cost center)
For each company code you must define a document type for automatic depreciation posting only: This
document type requires its own external number range.

You also need to specify the accounts for posting. (Account determination)
To ensure consistency between Asset Accounting and Financial Accounting, you must process the batch input
session created by the posting report.

If you fail to process the batch input session, an error message will appear at the next posting run. The depreciation
calculation is a month end process which is run in batches and then once the batch input is run the system posts the
accounting entries into Finance.
How you change fiscal year in Asset Accounting?

The fiscal year change program opens new annual value fields for each asset. I e next year
The earliest you can start this program is in the last posting period of the current year.
You have to run the fiscal year change program for your whole company code.
You can only process a fiscal year change in a subsequent year if the previous year has already been closed for
business.

Take care not to confuse the fiscal year change program with year-end closing for accounting purposes. This fiscal
year change is needed only in Asset Accounting for various technical reasons.

Is it possible to have depreciation calculated to the day?

Yes it is possible. You need to switch on the indicator Dep to the day in the depreciation key configuration.
Is it possible to configure that no capitalization be posted in the subsequent years?
Yes it is possible. You need to set it in the depreciation key configuration.
How are Capital WIP and Assets accounted for in SAP?
Capital WIP is referred to as Assets under Construction in SAP and are represented by a specific Asset class.
Usually depreciation is not charged on Capital WIP. All costs incurred on building a capital asset can be booked to an
Internal Order and through the settlement procedure can be posted onto an Asset Under Construction. Subsequently
on the actual readiness of the asset for commercial production, the Asset Under Construction gets capitalized to an
actual asset.
What is the purpose of defining Internal orders.?
Internal Orders are basically used for tracking of costs, which are proposed to be incurred over on a short term basis
and time tracking is not of much essence.Eg an Advertisement campaign. Sales Promotion and Exhibition expenses
etc
What is the procedure in SAP for Initial stock uploading? Mention the accounting entries also.
Initial stock uploading in SAP from the legacy system is done with inventory movement type 561.
Material valuated at standard price : For a material valuated at standard price, the initial entry of inventory data is
valuated on the basis
of standard price. If you enter an alternative value at the time of 561, then the system posts the difference to the price
difference account.
Material valuated at moving average price : The initial entry of inventory data is valuated as follows : If you enter a
value when entering initial data, the quantity entered is valuated at this price. If you do not enter a value when
entering initial data, then the quantity entered is valuated at the MAP present in the material master.
The accounting entries are : Inventory account is debited and Inventory Historical upload account is credited.

Asset Accounting: Accounting Entries:

1. Acquisition: With Vendor -F-90
Fixed Asset a/c Dr
(With acquisition cost)
Vendor Cr
2. Asset Disposal Sales to a Customer: - F-92
Dr. Customer account (A/R)
Dr. Accumulated depreciation
Dr. Clearing account for asset disposal
Cr. Revenue for asset disposal
Cr. Fixed asset acquisition cost
Cr. Gain/loss of fixed asset disposal
The posting date of the retirement posting will also be updated into the field
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"deactivation date" in the asset master as the retirement date.

3. Asset Disposal As a Scrap -ABAVN
An asset could be disposed as a scrap. In this case, no revenue is expected and a loss
will be realized in the P&L if the fixed asset being scrapped still carries a net book
value.
Cr. Fixed asset acquisition cost
Cr. Gain/loss of fixed asset disposal
Dr. Accumulated depreciation
4. Asset Transfer within a Company Reclassification
The NBV(Net Book Value) of an existing asset master record could be transferred to
another asset within the same company.
Cr. Asset acquisition cost (old asset)
Cr. Accumulated depreciation (new asset)
Dr. Accumulated depreciation (old asset)
Dr. Asset acquisition cost (new asset)
The old asset being transferred will become a retired asset and the transfer posting
date will be updated as the retirement date in the asset master record. For the new
receiving asset, the transfer will be the same as if it is being acquired. The transfer
posting date will be used as the capitalization date.
5. Asset under Construction (AUC)
(Internal Order as Investment Measure)
1. Define the AUC Asset Class (with investment measure) - OAOA
2. Define the Asset Class for Main Asset - OAOA
3. Define Investment Profile - OITA
-Assign the AUC Asset Class (Step-1) in the investment profile
4. Assign Investment Profile to Model Order - OITA
5. Define Order Type (Investment) - KOT2
- Settlement Profile - OKO7
- Maintain Allocation Structures - OKO6
- Planning Profile - OKOS
- Budget Profile - OKOB
6. Create an Internal Order - KO01
- With the Investment Profile
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- AUC automatically created by the system using Asset Class given in the Investment
Profile
1. Post the amounts to IO - FB01
Dr. Material supplied to Asset (Expenditure)
Cr. Cash account
2. Settle the amounts to AUC from IO (Pricing type: Automatic) - KO88
Dr. Asset under Construction account
Cr. Contra Capitalized
Create the Main Asset - AS01
3. Settle the amounts to Main Asset from AUC - KO88
Dr. Final Asset account
Cr. Asset under Construction account
4. Sale of Asset from One Company code to another Company code
A. If Selling and Buying Company is separate Entities:
In Selling Company:
A/R Posting
Dr Customer a/c (for the sale value)
Dr Clearing of Asset Retirement
Dr P&L (Loss)
Dr Accumulated Depreciation
Dr Asset
Cr Revenue Asset Retirement Asset Posting
In Buying Company:
Cr Asset
Cr Vendor
Note:
- Posting date of the document will be copied into the asset master as the
capitalization date.
- The depreciation start date of each depreciation area will also be determined and
updated in the depreciation area data tab page.
- Asset acquisition posting could also be done without PO from the MM module.
- Posting could be done in FI posting only.
B. If selling and buying Company is Inter Companies - ABT1N
An inter company transfer in the asset history sheet can be an asset acquisition in one
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company code and an asset retirement in another company code. Fixed assets can only
be evaluated at client, and not company code level.
In Selling Company:
A/R Posting

Cr Revenue Asset Retirement Asset Posting

Cr Asset $6000
Dr Clearing of Asset Retirement
Dr P&L (Loss) $1300
Dr Accumulated Depreciation
Dr Inter Company Customer a/c
In Buying Company:
Dr Asset
Cr Inter Company Vendor
1. Note:
- Posting date of the document will be copied into the asset master as the
capitalization date.
- The depreciation start date of each depreciation area will also be determined and
updated in the depreciation area data tab page.
- Asset acquisition posting could also be done without PO from the MM module.
- Posting could be done in FI posting only.
2. Note:
The process for posting intercompany transactions is as follows:
- The initial entry is parked.
- Then an email is sent to the other branch to view the document.
- On approval of the transaction, the parked document is then posted to the g/l in both
companies. The company receiving the revenue will be the one responsible to book
into system using the US dollar as base currency.
5. Month End Processing Depreciation Run-AFAB
Dr. Depreciation expense
Cr. Accumulated depreciation
Asset Accounting in SAP ECC 6.0
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a. Fixed Assets can have multiple depreciation areas to handle multiple GAAP
requirements. e.g., Local GAAP vs. US GAAP.
Note: Specify the General Ledger that is posting to Asset Accounting (Define
valuation areas for parallel valuation, and Delta valuation area to post valuation
deference)
Depreciation area 01 Asset valuation area 01 (will always link to the Leading
Ledger)
Depreciation 02 and depreciation area 12 Other asset valuation areas that can be
tied to NLs as required.
b. The program used for transaction ASKB has changed to RAPERB2000 and for
AFAB, it is RAPOST2000
c. Functional area assignment is mandatory
d. Previously in 4.6C we use to give the batch ID in the variants in ASKB and AFAB.
Now it is mandatory to have direct postings done for depreciation and APC postings.
Therefore for document types which handle depreciation, the batch input session must
be unchecked.
e. Posting indicators in depreciation area (Old assignments)
1. Post depreciation at periodic intervals to the general ledger.
2. Post asset values & depreciation at periodic intervals
3. Automatically post values online (real time)
Additional Assignments as New GL
4. Post APC directly + depreciation
5. Post APC only on periodic basis
6. Post APC only

Whats Asset Data Uploaded process?

ANS:
If the legacy transfer date is set at 31.08.2012 , then you have to migrate the assets in 2 ways ;
1. Assets for previous year i.e assets having capitalization date upto 31.12.2011.
2. Assets capitalized for the year 2012 .
Remember , for previous year assets you will have to have the following data in AS91 :

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- Acquisition value
- Accumulated depn ( Depn up to 31.12.2011 )
- Depn. posted for the current year ( Depn for 8 months )
For current year assets , you will have to have the following data in AS91 :
- Depn posted for the current year i.e 2012 .
- You will have to make transactions for current year asset as you cannot post the acquision values in AS91
as you do it for previous year ,
Here you need to use the transaction types and do the current year transactions . for Eg. for Asset
acquisition it is 100 .
In current year , you can either post only the additions or can post all the transactions as per your
requirement.
Asset A/C Dr
To Acc. Depr A/C Cr
To Takeover (initial upload) A/C Cr
AB01
Defining a transfer date
Create legacy assets through AS91
Transfer balances to GL Accounts through OASV

Asset Year-end Closing

The year-end closing enable the company to produced the final balance sheet and profit and loss statement for its
annual report, which has to be created to meet the particular legal obligations in each country.
Once the fiscal year is closed, you can no longer post or change values within Asset Accounting (for example, by
recalculating depreciation). The fiscal year that is closed is always the year following the last closed fiscal year. You
cannot close the current fiscal year.
AJAB - Year-End Closing Asset Accounting
Company code : Your Company code
Asset classed asset u. const. : Optional
For fiscal year : Last closed fiscal year
Uncheck 'Test run' if this is a production run

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At menu bar, click Program -> Execute in background.

Perform Fiscal year close for fixed Assets.

While doing a Test run, message is that fiscal year close could not be performed but it does not display any
Asset details .It says Other Error. I am not able to identify what those other Errors could be.
Also, I have checked Incomplete Assets list As well but that list is empty as well. Also while running tcode
AUVA there is a tab correct incomplete Assets, can anyone tell what deos that mean and when its to be used.
You can check and edit Asset accounting closing status using tcode OAAQ.
But you seem to be not clear on process.
AJAB is for closing Asset Accounting books.
AJRW is a technical step of changing fiscal year in system. If not done, it will not allow you to view asset reports in
current fiscal.
Now, your error says incomplete asset. Please run ajab in test mode, check for details. It will give you asset details
and error details as well. Go to asset explorere and check if the asst in question has been fully depreciated for the
year.
If not run repeat deprecation for the asset in period 12 and then try closing asset books. You can also check asset
and GL inconsitency using tcode ABST.

Process Fixed Asset Depreciation

Every asset transaction immediately causes a change of the forecasted depreciation. However, it does not
immediately cause an update of the depreciation and value adjustment accounts for the balance sheet and profit and
loss statements. The planned depreciation is posted to the general ledger when you run the periodic depreciation
posting run. This posting run uses a batch input session to post the planned depreciation for each posting level for
each individual asset as a lump sum amount.
The calculation and scheduling of depreciation, interest and revaluation are automatically controlled by keys in the
system, or you can control them manually using a special posting transaction. In both cases, planned depreciation
from Asset Accounting must be periodically posted to the corresponding asset and expense accounts of the general
ledger. You carry out this posting using a batch input session. In addition to the various depreciation types, interest
and revaluation, this batch input session also posts the allocation and writing off of special reserves.
When the system posts depreciation, it creates collective documents. It does not create separate documents for each
asset.
Depreciation Posting Run is done via transaction code 'AFAB'.
The program creates batch input sessions for posting depreciation and interest to the G/L accounts in Financial
Accounting and/or to Controlling.
Fields Description :Company code : Your Company Code
Fiscal Year : Your fiscal year

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Posting period : Your depreciation period

Reason for posting run (choose one)
Planned posting run : X (default)
List assets : (tick if you want to see the detail)
Test run : (tick if you run in test mode else untick for production run)
Main asset number : (you can specify certain asset number if you click repeat run or test run)
Note :
Click the execute button if this is a test run.
Click the menu bar -> Program -> Execute in background if this is a production run.
You should get this message :
Background job was scheduled for program RABUCH00 and print out the output.
Release and Process the Batch Input Session in transaction code 'SM35'.
Process Session RABUCH00
X - Display errors only
Additional functions
X - Dynpro standard size
Click the Process button
If there is error, the system will pop up the error message.
Correct the error and recreate the session in transaction 'AFBD'.
Fields Description :Company code : Enter your company code
Fiscal year : Enter your fiscal year
Posting period : Enter your posting period
List assets : (tick if you want to see the detail)
Test run : (tick if you run in test mode else untick for production run)
Asset Reverse Year-End Closing
If you closed a fiscal year too soon, and still need to make corrections, you can reset the last closed fiscal year in
Customizing for :Asset Accounting (Periodic processing -> Year-end closing -> Reverse).
Using this function, you can re-open the last closed fiscal year, either for selected depreciation areas in a company
code, or for all depreciation areas in a company code. You do this by changing the field for the last closed fiscal year.

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Be careful if you re-open a fiscal year only for certain depreciation areas, and you need to make adjustment postings
only in these areas. You cannot use the standard transaction types for these postings, since the standard transaction
types post to all depreciation areas. Instead, you have to define your own transaction types in Customizing for Asset
Accounting (Transactions), limiting them to the required depreciation areas.
OAAQ - Reverse year-end closing for deprciation area
At the desired company code, change the fiscal year in 'Closed fiscal year' column.
Save entries and create a new request.
Change Asset fiscal year
AJRW - Asset fiscal year change
Company code : Your Company code
New fiscal year : Last closed fiscal year
Uncheck 'Test run' if this is a production run
At menu bar, click Program -> Execute in background.

How to reset Asset Data?

You can reset the entire AA data from Img->FA-> AA-> Preparing for production startup ->Tools -> Reset
company code.
This will reset only the asset accounting data from the company code. But before you perform this you have to make
sure that you reverse all the transaction you have posted and have gone to the FI. As this reset will not effect FI GL
data.
You can then reset the depreciation posted and then the recon accounts.
When you reset the recon accounts, it will enable you to post directly to the account like normal GL. Then you have to
post JV and rectify you GL(recon account).
Then upload the correct data. After the data is uploaded set the recon accounts. this will reconcile the amount with
the assets and activate the company code (in asset area).

Mass change for assets

I am experiencing problems in OA02, Asset Mass Change. I am using 4.6C.
What happened was that I created the Substitution, then created the Step, and I then SAVED. I am not sure if I need
to create a RULE or not. I have already defined in a STEP, (using Formula Builder) that most assets belonging to a
certain asset class, 9011 with a current Cost centre, Z01, are to be assigned to another Cost Centre Z02, within the
same Co.
Code. I then saved the Substitution, although I noticed that there was a "?" icon next to the RULES folder. I am well
aware that for Time Dependent Data, we would need to specify a "Valid From" date. (ADATU, in Table ANLZ) But,
do we need to specify a "Valid To" date as well ?
My data is like this.....
PREREQUISITES:

Asset Class =3D '9011'

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SUBSTITUTION:
Valid From is substituted by Constant '19.08.2001'
Cost Centre is substituted by Constant 'ZB02'
If I need to create a Rule, What would I need to enter ? I then created a WorkList, and assigned the Substitution to it.
After this, I generated the Worklist in Background using AR31. Everything seems ok, but when I check the Assets, I
still see the old Cost Centre, NOT the New Cost Centre.
-------------Rules are not required. You get a ? because you probably started to create one and did not finish.
For a Cost centre mass change, if you want to have it time dependent, you must specify 'valid from' and 'valid to' in
the substitution rule. In config you determine if you want to use the time dependency or not (default is : Yes)

Assuming that you are newly implemention with go live date of Sept 1st 2006 and Fiscal year
January - December, what will be the best way? Would it be better to define a Shortened Fiscal
year for Sept-Dec 2006 and then regular Fiscal years OR Define a full Fiscal year for the entire
2006 and future FYs
Normally, the best way is to keep it simple and leave the first year "normal" (12 + 4 months starting January). You
convert old data as of August 31 (unless the client requests opening balance as of December 31, 2005 and then
monthly movements - I have experienced both options) and then start normal bookings in month 9 on September 1.
We never tried shortened fiscal year in this context and it is surely not needed here. It just adds complexity.

Explain Retire Asset with Revenue and Retire Asset Without Revenue.
Asset sale
* Without customer - Transaction ABAON
- in case that a sale invoice is issued and posted in SD (or FI) and asset retirement is posted in FI-AA - Transaction
ABAON.
* Between affiliated companies - Transaction ABT1N - asset transfer between company codes
* With customer known - Transaction F-92
- in case that a sale invoice is not issued and book through SD
but in FI-AA - Transaction F-92.
* The sale invoice posted in FI-AA - document posted in AA or FI (document type ZN) and issued (printed) by
transaction what has to be modiffied.
Asset sale without customer - transaction ABAON (old t - ABAO)
In case you want system to calculate Gain/loss from sale for you enter Manual value (revenue amount) in
specification for revenue. It is not allowed from the legal point of view for France.
If you want the asset to be retired in NBV choose which depreciation area (e.g.01 - management reporting area
required) net book value should be posted.
Enter transaction type to specify the business operation you want to make.
(e.g. Retirement with revenue 210,

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Retirement of new acquisition with revenue 260)

An asset retirement can refer to an entire fixed asset (complete retirement) or part of a fixed asset (partial
retirement).
In case of partial retirement enter amount posted, percentage rate or quantity.
System calculates the gain/loss from the asset sale and makes posting on gain/loss on sales asset account.
The difference (gain/loss) is counted from NBV of the asset and the revenue amount (clearing account e.g.5700990)
Retirement without revenue - Transaction ABAVN
Retirement due to scrapping, donation, deficit, damage
Retirement without revenue is a removal of an asset from the asset portfolio without any revenue, for example, by
scrapping. When you use this posting option, the system does not create revenue and gain/loss postings. Instead it
creates a loss from an asset retirement without revenue posting in the amount of the net book value being retired.
Retirement without revenue transaction posts NBV to one account specified in account determination for each reason
of disposal.
Additional account assignments with specific transaction types can be created to fullfill requirements of posting on
different accounts for each or some of disposal reasons (e.g. different account for scrapping than for donation). This
specific posting is allowed only for book legal depreciation area, for management area account for retirement due to
all reasons is the same (e.g.5700000).

Explain Mass Retirement.

When an enterprise sells a large portion of its fixed assets (such as a plant or a building), it is necessary to post the
retirement of all the individual assets which make up the whole. Since the number of affected assets can be very
large, the Asset Accounting (FI-AA) component makes it possible to make the necessary postings using mass
processing.

What is asset retirement?

Asset retirement is the removal of an asset or part of an asset from the asset portfolio. This removal of an asset (or
part of an asset) is posted from a bookkeeping perspective as an asset retirement. Depending on organizational
considerations, or the business transaction which leads to the retirement, you can distinguish the following types of
retirement:
- An asset is sold, resulting in revenue being earned. The sale is posted with a customer.
- An asset is sold, resulting in revenue being earned. The sale is posted against a clearing account.
- An asset has to be scrapped, with no revenue earned.
- An asset is sold to an affiliated company (refer to Manual Posting of Intercompany Asset Transfer/Retirement)
There is a requirement to dispose 900 + assets. Can someone please let me know what are the options
available? It should be similar to F-92 - Asset Retirement from Sale with customer but should to do mass
number.
If its a mass retirement, its possible - but I doubt mass physical deletion of assets.
Follow the steps below if you want to do mass retirement :

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1] AR01 -> Give your company code -> and the asset numbers Now press F8 to execute the same
2] At this point -> Go to the work list -> create -> Enter in the mandatory tab and select the retirement without revenue
-> Enter
3] Enter dates / transaction type -> now you will get a work queue number
4] Go to AR31 and execute the work queue -> Then click the Release button
This will work as a mass scrapping of assets.
How to asset retirement asap & configuration?
There is no specific configuration for asset retirement. For retirement there are 3 ways as following:
1. Scrapping Asset - ABAVN
2. Sale of asset with revenue - F-92
3. Asset retirement without revenue - ABAON
Asset retirement is an integral part of asset management. An asset can be retired in following ways :1. By Scrap - T.Code ABAV/ABAVN
2. By sale. In sale there can be following cases :a. with revenue b. without revenue
c. with customer - T Code F-92
d. without customer - T Code ABAON
How to update the New Depreciation Area in the Asset Master Data?
Answer:
When you add new depreciation area, you have to execute AFBN transaction.
When you have activated the area you can run the program AFBN - New Depreciation Area to load the values in the
depreciation area. When it create posting in FI you have to make a total posting for the values with the
transaction OBF1 or OASV
a) The procedure is as follows:
1. Create Depreciation area via OADB.
2. Activate Depreciation area via OAYZ.
3. Automatic opening of new depreciation are via AFBN and program RAFABNEW
3.1 Indicator: Leave values initial = not ticked.

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- Do not set this indicator if you want the system to copy the values from depreciation area 01.
3.2 Indicator: Leave values initial = ticked.
- Set this indicator if you want to open the newly created depreciation area without any values i.e. blank.
4. Recalculate depreciation via AFAR and program RAAFAR00.
b) Helpful notes:
430618 (Procedure for setting up new depreciation area)
301113 (Restrictions of RAFABNEW)
421549 (RAFABNEW: Error with closed fiscal years)

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