6d.Common_PM_Capitalisation, WIP, Depreciation and Scrapping

• Fixed asset


  An individual economic good that is recognized in the balance sheet at the time of closing, and is in the long-term service of the enterprise
• Asset master record


  • Contains general master data about the fixed asset
  • Contains data for calculating asset values, including depreciation terms

  
• Creating asset master data

  1. Select asset class

  2. Enter company code

  3. Enter number of similar assets to create

  4. Enter asset description and other details

  5. Enter time-dependent data like business area, cost centre, plant, location, room

  6. Enter allocation data like evaluation groups

  7. Enter origin data like vendor, manufacturer, country of origin

  8. Enter insurance data

  9. Enter BSNL data like decommissioning, tax rates

  10. Enter depreciation area details

  11. Save asset

  
• Changing asset master data

  1. Enter asset number

  2. Change description or other details

  3. Save changes

  
• Displaying asset master data

  1. Enter asset number

  2. View general data, inventory, posting information

  3. View management data on who created/changed asset

  4. View change documents

  5. View asset values

  
• Blocking asset master data

  1. Enter asset number

  2. Select 'Locked to aquis' option

  3. Save to block further acquisitions
• Deleting asset master data

  1. Enter asset number

  2. Select 'Physically delete asset' option

  3. Save to delete asset
• Creating asset sub-number


  1. Enter asset number and sub-number

  2. Enter company code

  3. Review and update sub-asset details as needed

  4. Save to create sub-asset
• Using Asset Explorer


  Access the Asset Explorer transaction
• Depreciation is the normal wear and tear of the asset
• Depreciation is posted by executing depreciation run at each month end
• Depreciation keys attached in the asset master automatically control the calculation and planning of depreciation
• Depreciation can also be manually posted using a special posting transaction
• Company Code


  Enter company code
• The details in the tabs will be coming by default from the main asset number, and can be changed in the sub number if required, else same values can be used.
• Click on to save
• Asset sub number generated.
• Via Menus


  Accounting > Financial Accounting > Fixed Assets > Asset→Asset Explorer
• Depreciation is the normal wear and tear of the asset. In SAP the depreciation on assets is posted by executing depreciation run at each month end .Depreciation Keys attached in the asset master automatically control the calculation and planning of depreciation in the system or you can manually post using a special posting transaction (Planning Manual Depreciation).
• In both cases, planned depreciation from Asset Accounting must be periodically posted to the corresponding asset and expense accounts of the General Ledger.
• Transactions covered


  • FI08.05.01 Depreciation Run
  • FI08.05.02 Depreciation Log
  • FI08.05.03 Manual Deprecation
  • FI08.05.04 Miscellaneous transactions
• Depreciation Run


  Part of month end activity, at every month once all the entries related with assets are posted the depreciation run should be executed.
• Via Menus


  Accounting > Financial Accounting > Fixed Assets > Periodic processing > Depreciation Run > Execute
• Input - Required fields

  • Company Code
  • Fiscal year
  • Posting Period
  • Planned Posting
  • List Assets
  • Test Run
• Click on the EXECUTE icon
• If the following message is displayed, Press yes to continue
• Test run completed successes fully. Press green arrow.
• Before executing the actual run, remove the 'Test Run' tick from the box.
• Click on the icon
• Click on IMMEDIATE icon
• Now click on SAVE icon
• Depreciation run job has been scheduled.
• To check the status of the job click on System – Services – Jobs – Job Overview
• Select your job for depreciation run and click on SPOOL icon
• Select the line and click on the icon SPOOL
• The asset list with depreciation amounts will be displayed.
• Depreciation Log


  Once the depreciation run has been successfully executed, the details for the asset number and amount of depreciation posted can be obtained from the depreciation log.
• Via Menus


  Accounting > Financial Accounting > Fixed Assets > Periodic processing > Depreciation Run > Display Log
• Input - Required fields

  • Company Code
  • Fiscal year
  • Posting Period
  • Asset number
  • List Assets
• The list displayed for the depreciation run.