AuC created and posting entries throu KO88 but i dont see any depreciation

Question

An AuC has been created and also capitalized using t-code KO88 but i dont see any depreciation for a long time.
Can someone please understand me the complete concept of AuC and how the depreciation is calculated.
- Sudhir Krishna Kumar SIngh

Answer 1

Hi Dear,
Internal order settlement :- In standard SAP ,generally we are settle P&L expenses to CWIP ( Asset under constructions) though internal order system,which same P&L expenses transferred to as balance sheet value under fixed asset group. All AUC assets are having depreciation key 0000 or any other key with 0 %.
Once WIP has been capitalized  , business user settle the AUC asset and transfer same values to direct asset.
Process :-
1. Create new asset under required asset class
2. AUC Settlement  ... AIAB Transaction code ,where you have to select how much amount need to be transfer to direct assets.
    after that ,you have to click on settlement button.
Rgds
Suma