Asset Lease accounting -non Linear lease payment

We are currently having a business scenario where an asset is acquired on capital lease basis.
Different depreciation area is maintained for leasing to account for interest on leasing.
The payments are made in monthly for lease payment.
The lease payment amount changes every year.
The lease tab in asset calculates Net present value on the basis on lease payment entered in the leasing tab.
Now since the lease payment varies every year the net present value calculation will be different(not as calculated in asset master -leasing tab).
I am not aware if the asset module can take care of any non-linear payment scenario to calculate the NPV and interest accordingly.
Example an asset ABC is acquired as capital/finance lease basis on
monthly lease payment for 4 years as follows:
The said asset is to be capitalized with net present value and we also need to ensure that interest calculation is done accordingly.
1st year 1000/month
2nd year 2000/month
3rd year 1500/month
4th year 1900/month
Since in lease tab only single lease payment can be entered, how the different monthly lease payment can be entered so as to calculate correct NPV.
Next how the correct interest calculation and net present value can be calculated correctly.
If any one has come across such situation, please reply.
Regards,
Manish Garg

Hi ,
SAp 4.7 does not support non linear lease payment. Only the Equal lease instalment can be generated automatically when you will go for opening balance at the leasing tab of the display assets(AS03).
But the ECC6.0 support the change over the lease instalment,
Rgds
Satyajit

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Lease Accounting Scenario

Dear:
            We have Lease accounting for assets configured in Organization Now the leasing process has changed. Management now receives funds from bank for the value of asset being purchased i-e finance lease. AS-IS process (currently running ) and TO-BE (what we want ) are given
Where lessor don't transfer funds for car in which accounting entries are as follows
AS-IS Process
At inception:
Security deposit               Dr.
                                Bank                      Cr.
Leased Asset                     Dr.
                                Lease Liability    Cr.
Monthly installment:
Lease Liability                    Dr.
Lease interest                   Dr.
                                Bank                      Cr.
TO-BE Process
·         We want this to be used Where lessor transfer funds for car. Please advice on the feasibility of automating this process in lease asset module. Specially the first entry is confusing. How will we cater it in AA module or passing a manual JV will be a solution. Please guide.
At inception:
Bank                                      Dr.
Security deposit               Dr.
                                Lease Liability                    Cr.
Monthly installment:
Lease Liability                    Dr.
Lease interest                   Dr.
                                Bank                      Cr.
Regards
Edited by: Atif Farooq on Jul 23, 2011 10:00 AM

Just a few question to clarify your scenario.
Your organization acquired the cars from the car dealership or manufacturer?
Your organization is the (lessor), and there are customers (lessees) who lease your cars?
When customers make payments, your bank receives the money and gives it to your organization?
If these 3 questions all have answer of Yes, then you have to decide what accounting rules you wish to follow. US GAAP, IFRS, something else. The reason must decide on accounting rules is because leasing rules are changing, and early adoption of the new rules may already be in place in your firm.
To get SAP advice, you have to be able to say whether or not this is a capital financing lease or is an operational lease.
If it is a capital financing lease (for your customer/buyer) then in the substance of the actual transaction you have already sold the car according to US GAAP existing rules. You do not have a capital asset (car) in your AA sub-ledger any longer. Instead you have a long-term lease receivable for the present value of all future payments to arrive. The current year portion of the amount will be classified as current year. As payments come in, you reduce the current receivable by the previously recorded present value amount, and you credit imputed effective interest income for the difference to balance your entry with cash.
But if the leases are operational leases, then you will depreciate the cars while you receive lease and imputed effective interest revenue. You will get the cars back with more than just small residual value left.

Sale & Lease Back ( Lease Accounting )

HI
Suppose we have 10 vehicles - Assets of value 24 M .
total value = 30 M
Depriciation = 6 M
Net Value = 24 M
we sold these vehicles to Leaser Bank to 25 M. On sale we got 1 M Profit . How to deal this profit , book in one entry\month or to distribute in lease period(36M).
we again get these vehicles on lease for three year ( 36 Month). How to do all this in SAP.
I read some material about SAP contract Management & then Lease accounting. but need expert guide.
I am a SD Consulant. but know accouting.
Thanks \ James

by forums answer

I created a new apple id and as my billing info i put in my itunes card. i still have $18 left in the account but it wont let me buy anything because i put none as my payment method. what can i do to fix this?

i created a new apple id and as my billing info i put in my itunes card number. i still have $18 dollars left in the account but it wont let me buy anything else because it constantly asks for my billing info and i now put none as my payment method. how can i buy stuff again?

Creating an iTunes Store, App Store, iBookstore, and Mac App Store account without a credit card
Step 3 is important, no matter whether you do this on a Mac or an iPad / iPhone:
Important: Before proceeding to the next step, you must download and install a free application. ...
Important: Before proceeding to the next step, you must download and install the free application by tapping Free followed by tapping Install App. ...

There is no button to choose NONE for the payment so now I can't remove a credit card from my account.

i cant remove a credit card from my account and now can't download anything since apple forgot to put a NONe option in the payment screen. what do i do about this?
<Edited by Host>

Log into your account and manage the payment methods, this is done via iTunes on a computer.
Debit cards are not acceptable forms of payment.

To create apple US account i followed all the steps including none in the payment option. i dont have US address how should i fill the fields.

to create apple US account i followed all the steps including none in the payment option. i dont have US address how should i fill the fields.

You need to be in a country to use its store - if you are not in the US with a US billing address then you cannot use the US store.
From the US store's terms of use :
The iTunes Service is available to you only in the United States, its territories, and possessions. You agree not to use or attempt to use the iTunes Service from outside these locations. Apple may use technologies to verify your compliance.

HT1918 "If you do not want a payment method on your account, select None in the payment type section"

I have visa, mastercard, amex, discover and paypal - no "None" option for payment method. What do I do now? Assuming I don't want Apple to have my credit card info for no reason.

I figured out how to do this and I will explain it here so if you are trying to figure out how to get the None payment option then please read this as I will explain it in great detail so you can not fail when tryiong to figure it out. By the way I had to do this 7 times to finally figure it out, I was literally on my last try and I told myself if it didn't work one more time I was going to just return the iPhone I just bought a day and a half ago. So here it is the walk through that will really work:
Before we start I want to suggest that you do this on your computer not your iPhone. I attempted this on my iPhone the first time and it did not work. Meaning it did not give me the "None" option for payment types. The method that finally worked for me was doing this on my home computer. The following is exactly how I achieved this:
#1 Important read and follow each step individually and exactly before moving on or you may have to repeat the entire process!!!!!
#1 cont. If you already have an Apple ID that you have made with your favorite email account and you are not getting the "None" option after following the steps given on the walk through then guess what you have to scrap that Apple ID, there is no way around it unless you want to give CC info which is why you are here in the 1st place right? I know totally stupid and ******** as heck right? But there you go now you can forget about the other Apple ID you made. You are now going to have to create an entire new email account so you can do this like I did 5 times, but you only need to do it once, thank heavens right!? You have to do this unless you have an email account that you have not already attempted to creat an Apple ID with, if you have an email account that you have not used while attempting to create an Apple ID with then you can use that email account, if not then you need to make a new one, again, I know!?!? How fricken ******** can you get? Thank the Apple folks they designed it this way for God only knows why?
I don't know of anyway to delete an old Apple ID there might be someone on these forums that knows. The way I see it is if I never put personal information in it and it never worked who's ever going to care about it, I made 6 Apple ID's and none of them worked so I just forgot about them. I finally figured it out on the 7th one.
================================================================================ =
#2 OK, step two now. So if you needed to create a whole new email account you're probably feeling about as ****** as I was at this point, except I was 5 times as ******.
So in step number two, you just need to open up iTunes at this point. Once the program is open there is an iTunes store icon/button in the upper right corner of the program. Click on that button. (please note it does not matter if your phone is linked up with your computer).
================================================================================ =
#3 Step three. Click on the App Store optionnear the top of the screen in the center.
================================================================================ =
#4 Scroll down the page until on the right hand side there will be in bold Top Free Apps. Choose any one of the FREE apps and click on it.
================================================================================ =
#5 After clicking on the app it will pop up with a box asking if want to create Apple ID click on that option. Finish all the stuff secret questions and all to create a new Apple ID, yes you have to make a new one.
================================================================================ =
#6 Finally you will get to the page where it looks just like the payment page but the None option will be there now, don't ask why, again, only God and the horrible web page designers at Apple know why. You will still need to fill out the information on that page but you will notice as long as you have chosen the None option that it is not asking for any credit card information this time. Fill out the information and it will send a confirmation email thing to your new email account. Do the confirmation stuff that it requests and vioala you can now use the Home Sharing option in iTunes and sync your files. Wow, kind of a very long and ******** journey but we finally made it, yayyyyy!!!!
Apple should really, really, seriously considered getting this fixed ASAP!!

HT201303 I need my existing account to have "None" as the payment option - any suggestions

I need my existing itunes account to have "None" as a payment option. Any suggestions? Thanks

Hey there!
Here are instructions to delete your credit card information from your iTunes Store account:
1) Make sure you're using the latest version of iTunes. It can be downloaded free of charge from the Apple website at:
http://www.apple.com/itunes/download
Note: Installing the latest version of iTunes will not affect your library or any items in your account that you haven't downloaded.
2) To launch iTunes and be taken to your Apple Account Information page, click this link:
https://phobos.apple.com/accountSummary
(If you are not already signed in, you will need to enter your iTunes Store account name and password and then click the Account Info button to sign in.)
3) The Apple Account Information page will appear. On this page, click the Edit Payment Information button, which is the second button from the top.
4) On the Edit Payment Information page, select "None" from the list of credit card types. This will delete your billing information.
5) Be sure to click the Done button at the bottom of the page to save your changes.
Note: If you established any allowances using this credit card, please cancel the allowance and advise the recipient that the monthly allowance payments will cease.
To buy from the iTunes Store in the future, you can use iTunes Gift Cards, which are available in multiple denominations at third-party retailers, Apple Store retail locations, and the Apple Store online:
http://www.apple.com/store
Hope this helps! =D

HT1918 hey am stranded its like a month now my account does not have the None in the payment type section i had put my visa info but not now i want to remove them please urgent help

hey am stranded its like a month now my account does not have the None in the payment type section i had put my visa info but not now i want to remove them please urgent help

iTunes Store Support
http://www.apple.com/emea/support/itunes/contact.html

HT2534 While creating an account from my iPad there is no option for selecting none in the payment options. It states I have to give my credit card details. What's the procedure to open a free account?

While creating an account from my iPad there is no option for selecting none in the payment options. It states I have to give my credit card details. What's the procedure to open a free account?

It's in the article. You must first sign-out your current account, then go to App store to purchase a Free App. It will ask you to either Sign in or create a new AppleID. That's when you start creating a new AppleaID and NONE will be available as a payment option.

HT1918 i have just made my apple id.i have made this for itunes.after making my account i have problen with the review payment information as i do not use any credit cards and there is no option like NONE in review payment information. what should i do no

i have just made my apple id. i have made this for itunes. after making my account i have problem with the review payment information as i do not use any credit cards and there is no option like NONE in review payment information. what should i do now? to proceed further? plz help me!

How did you create the account ? If you followed the instructions on this page when creating it then you should have got the 'none' option : http://support.apple.com/kb/HT2534
e.g. on a computer's iTunes, if currently signed into an account then you logged out of it, and you then found a free app in the store and clicked on its free 'price' :
And then clicked on 'create Apple id' on the popup :
When I tried that process to create an account a few days ago I got the 'none' option on the payment details screen.
If you didn't use that process then you will need to create a new account using it (the instructions won't work with an existing account).

Lease accounting - both capital & operation setting steps

Hi,
Normal FI-AA is configured in client SAP new requirement is to implement Lease accounting (both Capital & Operational). Can you suggest step by step setting required for the same (for both capital & operation) & would be great is you can through some light UAT steps (for both capital & operation) for the same.
Thanks,
Vishal

I am sorry, what is the problem exactly.
Did you provide the default value (through Property Inspector)and still it is not working?
I have tried this and i am able to load the target table successfully.
Here is the mapping that i created:
1)Created mapping with a source, Mapping Input Parameter and target oprators(The source table i took is EMP table from scott schema)
2)Mapped all the columns from source to target.
3)For the mapping Input parameter operator i created one output variable(SAMP_DAT with DATE data type) and mapped this column to the target table
with the value as CURRENT_DATE-10 in the expression editor provided
4)Deployed and executed the map
But the value for the SAMP_DAT was not loaded (it was NULL)
5)Then i opened the property inspector for SAMP_DAT and provided the default value as CURRENT_DATE-10 and deployed and executed the map again
And now i am able to see the data for the column SAMP_DAT in target table.
Hope this helps
Regards,
Pnreddy

Capital lease accounting

Hello all,
Does anyone use Oracle for capital lease accounting? We are a lessee and we're trying to use it, but could use some guidance/help.
Do you have any links/references that we can consult to get a better understanding of how this works? Or is the manual our only option?
Thanks,
Dave

Hello all,
Does anyone use Oracle for capital lease accounting? We are a lessee and we're trying to use it, but could use some guidance/help.
Do you have any links/references that we can consult to get a better understanding of how this works? Or is the manual our only option?
Thanks,
Dave

Apple account none payment methode does not appear

when i creat my apple id the none option in payment methode does not appear . please tell me what I do ?????

Unless the instructions on this page are followed when creating an account : Create an iTunes Store, App Store, or iBooks Store account without a credit card or other payment method - Apple Support…
then credit card details will need to be entered before the account can be used to download any item from the store.
If you are being prompted to review the account then you could see if this post by mountaingoatgirl lets you do so without needing to enter credit card details : https://discussions.apple.com/message/24303054#24303054
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Vendor Reconciliation & Asset Reconciliation Account

Dears
I am a little confused regarding the reconciliation accounts.
We are making for Asset Config settings for down payment posting. I selected downpayment account for Asset Downpayment in AO90; but the system says the GL is not a reconciliation account.
When I saw the GL account, it is created as a Vendor Reconciliation account.
But in AO90 I think, we should give an Asset Reconciliation Account, right ?
If that is the case, why we should have separate reconciliation account for Vendor and Asset in Downpayment posting for Assets ?
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Spl-GL 'A' is linked to a reconciliation account for vendor.
Asset downpayment is also linked to a reconciliation account for asset.
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Hi Niki
I personally dont like updating the Down Payments for assets in Asset Accounting.. It is inviting troubles w/o much of value-add.. If you post DP to asset, then Invoice and you dont clear the DP, the depreciation is calculated on Invoice amount + DP Amount
Ofcourse, it gets adjusted in future depreciation runs once you clear DP. But if you clear in subsequent FY, then thats a problem
In order to avoid updating DP in AA, follow the below steps
1. Create a new FSG as a copy of G067 in which you will suppress the Asset Number
2. Assign this FSG in Vendor recon accounts
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4. System will give an error msg F5 378..
5. Suppress it in OBA5, and you are done..
I remember this till date because this was one of my initial findings / learnings in my SAP Career ;-)
Best Regards
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Asset Lease accounting -non Linear lease payment

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