SAP Financial Accounting

Hussain Lalji, SAP

Consultant
www.exdnow.com
SAP Financial Accounting Training
Day 7

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 AGENDA
▪ Fixed Asset Accounting

▪ Asset Master Data Maintenance

▪ Asset Acquisition

▪ Asset Retirement

▪ Asset Transfer

▪ Asset Unplanned Depreciation

▪ Asset Reporting
 Chart of Depreciation & Chart of
Accounts
• All the G/L accounts are defined in the chart of accounts. FI-AA works with the chart of
depreciation assigned to the company code.

• Chart of depreciation are used to manage various legal requirements for the depreciation and
valuation of assets. Since chart of depreciation must be country specific, SAP provides sample
chart of depreciation for many countries or you can create your own company specific chart of
depreciation.

• Each depreciation area represents a specific type of valuation, such as book depreciation or tax
depreciation.

• Each company uses one chart of accounts and one chart of depreciation. Multiple company
codes can work with the same chart of accounts and same chart of depreciation.
 SAP – Asset Accounting
• Asset accounting is a subsidiary ledger of the general ledger and is used to manage and
document in detail fixed asset transactions.

• In general ledger accounting, you can update depreciation and changes to asset
balance sheet
values in asset accounting. You can also make various account assignments to cost accounting
for these transactions.

• As a result of the integration in SAP ERP, Asset Accounting (FI-AA) transfers data directly to and
from other SAP ECC components.

• For example, you can post from the Material Management (MM) component directly to FI-AA.
 Asset Class
• The asset class is the most important criteria
for structuring fixed assets from an accounting
point of view. Every asset has to be assigned to exactly one asset class.

• The asset class is used to assign the assets (and their business transactions) to the correct
general ledger accounts.

• The asset class is the main criterion for classifying assets. The asset
class contains default values
which are passed on to the individual assets when you open a new asset master record like
depreciation term etc.

• Examples of asset
classes are: Building, Vehicle, Asset under Construction, fixtures & fittings,
Machines, low value assets etc.
Asset Class
 Asset Class
• Asset classes are made up of a master
data section and a section for valuation
data.

• You define the master data section of an

asset class once on the client level.

• The valuation data section is dependent

on the assigned chart of depreciation,
which in turn is directly linked to the
company code.
 Asset Process Flow
Create /
Registering
Steps: Asset
 Create / Registering Asset Disposal /
Retirement Procuring
 Procuring Asset Asset
 Transferring Asset
 Depreciating Asset
Depreciating
 Disposal / Retirement
Asset
Transferring
Asset

Needed Optional