AUC - distribute & settlement

Hi,
Asset under construction:
What is the difference between asset distritue & settlement?
When should i do distribution & settlement?
My AUC asset class has line item. Do i need to say line item?
Thanks in advance.
Regards,
Pritam

Pritam,
Distribution - selecting the required/ the right line items and assigning those values to the depreciable assets at the required percentage.
for eg., AUC 1 have 4 line items and line item 1 has to be distributed aganist Asset 1 & 2 in the ratio of 60:40. This is defined and achieved thru distribution process.
Please try AIAB for distribution.
Settlement - Once the distribution process is over, the values has to be posted from AUC to the respective Assets. This is achieved thru settelement process. In this activity, the Asset value date should be given and the system would identify the Depr start date based on this.
AIBU can be used for settlement.
Regards,
Vinod

Similar Messages

AUC and settlement rule mismatch.

Hi,
We have created many AUCs while uploading initial data at the time of go-live by posting JVs on WBSE and then performing the settlement. Now due to some currency issues we have reversed all settlements, and then Asset accounting person has resetted the asset register.
now when I am trying to create AUC from CJ20N, system creates AUC and provides the number. but this newly generated AUC number is not matching with the AUC in settlement rule. I can't delete the old settlement rule as the settlement performed on that. as well as I am not able to add new AUC in settlement rule.
Please let me know if there is any program / tcode which can remove this inconsistency. or is there any other procedure to make it streamline.
Please help.
Regards,
Nilesh.

Hi,
There is no error message in this case.
The scenario is like:
I have one WBSE and AUC is created for this WBS. for example AUC number is 1. the WBSE is released and some cost has incurred on it. during periodic settlement the cost is settled on the AUC.
Now the Client FICO team observed that the asset accounting is wrong due to currency conversion problem, so FICO team decided to reset the asset register and upload the entire master with new corrections. this will reset the AUCs as well.
so i reversed the settlement done on AUC and got the cost back on WBSE.
FICO team has resetted the asset register and all AUCs got deleted.
Now the issue is: WBSE is having AUC #1 in settlement rule which can not be deleted as settlement is carried out on this rule.
But when I create new AUC for WBS it is being created as some different number, (lets say #7) so even if now I run settlement the settlement will be done on AUC #1 insted of #7 even though #1 belongs to some other WBSE now in new scenario.
I hope I have clearly mentioned the issue.
Regards,
Nilesh

Unable to assign AUC as settlement type in settlement rule for FXA category

Dear Experts,
One of my requirement is that one WBS has several actual posting for AUC of different types and settle through CJ88. Investment profile is not in scope.
To run the above scenario, i created AUC manually via AS01 of different types. When i create settlement rule manually for that WBS i can't see the settlement type "AUC" for FXA category. I can see only the settlement type of "PER and FULL". 100% settlement should be done for all AUC posted for that WBS at the time of each period closing.
Could you help me to resolve this issue asap?
Regards
Vetri

Hi,
To get AUC in settlement rule , you need to allow settlement at wbs level which use to be controlled in settlement profile. Also you wont find AUC but u will find fixed asset- FXA.
One more thing settlement rule come automatically when you run the settlement first time as captilisation. You will get the settlement rule automatically.
Regards
Abhishek Sinha

AUC asset settlement to assets

Hi Experts,
I have an AUC asset amount flows from GR/IR and Miro. I need to settle it to multiple assets. I was able to distribute AUC to different assets through AIAB. Once this is done, when i go for settlement(AIBU) its giving an error msg " Settlement amount> Available amount" . I have checked the amount and found to be correct. No discrepancy in data is observed.
Thanks,
Sasidhar

hi
check the percentage maintained against each settlement rule
Edited by: AP on Apr 3, 2009 10:22 AM

AUC Order Settlement

Dear All
I am following the below process for AUC related Asset.
For any AUC expenditure (Suppose Building), first creating an Order & in that order booking all the costs relevant to that AUC. At the month end i am settling that order to AUC asset.
But in some cases i am facing an error that "Balancing field profit center in line item 007 not field"
This error is happening when ever the store dept using that Order in making PO & there is some advance payment exist against that PO .
My service provider is telling that in AUC asset master maintain the default cost centre to remove this error. It is working fine , but my question is till the time i am not fully capitalizing the same how i will create cost centre.
Please provide me some solution.
Very Urgent

Dear Priyadarshan ,
Actually AUC Settlement process is like:
Create internal order (ko01)
Post transactions to Related Internal Orders
Settle Internal Order Postings to AUC
and
Final settlement with AUC to Fixed Asset .
You are getting the error when you are settling the costs to IO to AUC ..so , you have to maintain cost center in that settlement AUC .
in cost centers we assigns profit center.
Hope you get the solution
Thanks
ssrao

Internal Order - AUC - Asset Settlement

Hi All,
Please can anyone help me with the below issue on settlement (AUC):
Only 95% of the cost is settling to Asset from internal order. But I need 100% settlement. What settings needs to be changed.. Pls advice..
Will be helpful if solution is adviced asap.
Thanks,
Vinay

Dear Vinay,
Please check your settlement rule----
be sure that it must be 100%. (KO02)
If it is 100% then check in maintain allocation structure
(img-controlling-IO-actual posting-settlement-maintain allocation structure)
now select allocation structure (which is assign to your settlement profile) and double click on assignment and then source--- in this see whether all cost relating to IO is maintain or not. and then Double click os settlement cost element....here you see that by cost element field should be blanck.
come to the settlement profile (img-controlling-IO-actual posting-settlement-settlement profile)----
here you check that settlement should be full and also check the indicators....
Assign points if it helps you..........
Rgds,
Madhuri Panda
Edited by: madhuri panda on May 22, 2008 8:53 AM

AUC asset settlement

Dear All,
After settling the AUC asset to normal asset, values are not flowing into the group asset number which is tagged to the normal asset master data whereas under normal asset, values are flowing accurately.
Kindly give your suggestions over this.
Regards
Anuj

Hi Anuj,
What i feel is group asset is only for reporting IT Dep Values.
and also please also check the following settings for group assets:-
Asset grouping, depreciation etc) as per Indian IT act from SAP system
Country Version India comes with a report for calculating depreciation on
asset blocks (asset groups) as required by law for calculating a company's
taxable income.
Country Template
The country template for India comes with the following settings:
- Chart of depreciation
- Depreciation keys as per the income tax laws
Year-End Income Tax Depreciation Report
You use this report to calculate the depreciation on your assets and any
capital gains or losses according to the Income Tax Act.
To access the report, from the SAP Easy Access screen, choose *Accounting
(r) Financial Accounting (r) Fixed Assets (r) *Information
System* (r) *Reports
on Asset Accounting* (r) Taxes (r) Country Specifics (r) India
(r) *Year-End
IT Depreciation Report*.
Prerequisites
You can use the Customizing settings delivered by SAP in order to configure
Asset Accounting (FI-AA) with respect to the income tax depreciation area
and so that the report works correctly. For more information about what
settings to make, see the Release Note structure under FI (r) *Release Notes
from Country Version India Add-On* (r) *Customizing Settings for Income Tax
Act*. Given below:
Customization Settings relevant to Income Tax Act Description
In India, depreciation on assets for the purpose of computation of net
income as per the Income Tax (IT) Act 1961 is calculated over a block of
assets instead of individual assets as allowed under the Companies Act 1956
Asset acquisitions and retirements are managed over the block level. The IT
Act prescribes certain rates of depreciation to be used under the Written
Down Value (WDV) method over these asset blocks to compute depreciation.
The following are the customization settings that may be followed in the
R/3 system in order to manage your assets in the income tax depreciation
area.
*Customization settings *
1. Copy the standard chart of depreciation 0IN as provided by SAP and create
your own chart of depreciation.
2. Use the depreciation area 15 for the purpose of management of assets
under the IT Act. Make it statistical in nature. (Reference Transaction
Code: OADB). Do not check the box negative net book value.
3. Specify that the Income Tax depreciation area takes over the APC from the
book but not make it identical (Reference Transaction Code: OABC).
4. Create an asset class for the purpose of income tax blocks. This asset
class will be used to create only group assets. (Reference Transaction Code
OAOA)
5. Specify that the depreciation area for income tax can be managed only for
group assets. (Reference Transaction Code: OAYM). This would mean that
depreciation for this depreciation area would be computed only at group
asset level.
6. Specify that the asset class defined in (b) above will be used for
creating group assets only. (Reference Transaction Code: OAAX)
7. Two period control methods (IT and NL) have been defined in the system
for determination of start or the end of depreciation calculation at the
time of a fixed asset acquisition or retirement. You may use these period
control methods while creating the depreciation keys for the purpose of IT
depreciation.
Calendar assignments have been made for the above mentioned period control
methods in order to reflect valuation requirements as per the Income Tax
Act (Transaction Code: OAVH). You may create your own period control
methods depending on the fiscal year variant you use. The period control
methods supplied are based on the fiscal year variant V3.
8. Depreciation Keys:
The following depreciation keys have been created in the system. They
correspond to the income tax block that are prescribed under Indian tax
laws. They are as below:
*Depreciation Keys : *
1. IN1 - Tax Depreciation - 5% - India
2. IN2 - Tax Depreciation - 10% - India
3. IN3 - Tax Depreciation - 15% - India
4. IN4 - Tax Depreciation - 20% - India
5. IN5 - Tax Depreciation - 25% - India
6. IN6 - Tax Depreciation - 40% - India
7. IN7 - Tax Depreciation - 50% - India
8. IN8 - Tax Depreciation - 60% - India
9. IN9 - Tax Depreciation - 100% - India
The features of the keys supplied are as below:
Depreciation type: ordinary depreciation
Class: declining balance depreciation
Depreciation method: stated percentage
Base value: remaining book value with proportional value adjustments
Percentage rate: will correspond to the depreciation rate of an IT block
Period controls:
Acquisition: IT
Acquisition in following year: IT
Retirement: NL
Transfer: NL
9. For the asset classes corresponding to the IT blocks, default the
corresponding depreciation key for the depreciation area created for income
tax. (Reference Transaction Code: OAYZ). Use an infinite useful life e.g.
999.
10. Create a screen layout rule for depreciation areas (Reference
Transaction Code : AO21) in which the field group asset is mandatory.
11. While maintaining the other asset classes for the income tax
depreciation area, use the screen layout rule as in (j). (Reference
Transaction Code: OAYZ).
12. Create group assets using the asset class defined in (b), where each
group asset master record corresponds to an IT block. You will be able to
view only the income tax depreciation area for the group assets.
13. Maintain the following posting variants for the transaction types
normally used for asset retirements: 200, 210, 250, 260 (Reference
Transaction Code: OAYS) in the income tax depreciation area:
Treatment of retirement: balance revenue
14. Create individual asset master records, where for the income tax
depreciation area, you have to enter a group asset. Choose the group asset
depending to which IT block your asset belongs.
Note :
1. For individual assets, the system will not show any depreciation in the
income tax depreciation area.
2. For the group assets, the system will not display the book depreciation
area.
3. At the time of takeover of old asset data, create the group assets first
and specify the opening gross value and accumulated depreciation for the
income tax depreciation area. Then while creating the individual assets, you
have to specify the opening gross value and accumulated depreciation for the
book depreciation area only.
Features
Selection
Enter the asset numbers of your group assets and other selection data as
required.
Output
The system:
- Calculates the
depreciation on
each asset block
- Calculates any capital gains or
losses
If you deselect Test Run, the system also:
- Posts the depreciation to the income tax depreciation area
- Stores the capital gains amounts from the report in a table for your
future reference.
Calculation of Depreciation
Use
The program calculates the depreciation on each asset block according to the
Income Tax Act.
Features
Depreciation of Asset Blocks
The Income Tax Act requires you to depreciate all assets in blocks (in the
SAP System, called asset groups). In other words, you do not calculate the
depreciation on each individual asset. Instead, an asset group has its own
net book value.
The asset block's net book value increases when you add assets to it and
falls when you sell or retire assets. You also calculate depreciation on the
block's net book value. The depreciation rate depends on the asset block and
is prescribed by the government. Since an asset block may exist for a very
long time, as you add new assets to it, it has an unrestricted useful life.
For example, assume your company has four trucks. At the beginning of fiscal
20X1, the trucks have a total net book value, for income tax purposes, of
INR 300,000. At the end of the year, with no acquisitions and no
retirements, the net book value has not changed. The total depreciation on
all of the trucks is 10% of INR 300,000, or INR 30,000.
The total net book value of the block at the beginning of 20X2 is therefore
INR 270,000.
New Assets Held for Less Than 180 Days
If you purchase an asset less than 180 days before the end of the fiscal
year, you are only entitled to depreciate it at half of the normal rate of
depreciation. To continue the example, on 1 June 20X2 you sell a truck for
IN 30,000. On 31 March the following year, instead of posting INR 3,000
depreciation, you can only post half of that, INR 1,500.
The system handles this requirement by taking half the acquisition cost and
calculating depreciation on that.
Asset Retirements
When you retire an asset, you are not entitled to calculate any depreciation
on it in that fiscal year at all.
Calculation of Capital Gains or Losses on Sales of Assets
Use
The system automatically calculates any gains of losses on sales of assets
according to the Income Tax Act. Any gains or losses have to be taxed.
Features
If you sell an individual asset from a block, the value of the asset block
goes down by the sale price. For example, assume that you have an asset
block of trucks. On 1 April 20X2, the trucks' total net book value is INR
270,000. On 1 February 20X3 you sell one of the trucks for INR 50,000. At
the end of the year, the net book value before depreciation is therefore INR
220,000.
Capital Gains
If the sale of an asset causes the value of the asset block to fall below
zero, the amount below zero constitutes a capital gain under the terms of
the Income Tax Act. For example, on 1 April 20X3 the trucks' total net book
value is INR 198,000. On 1 December you sell a truck for INR 210,000. On 31
March 20X4 the system determines the asset block's net book value as:
INR 198,000 u2013 INR 210,000 = u2013 INR 12,000
This makes a capital gain of INR 12,000, which the system stores in a table
for your future reference.
The following year, the net book value of the asset block is set to zero.
Capital Losses
If you sell all the assets in a block, but the block still has a net book
value, the system posts this value as a capital loss. For example, if you
have a block with only one asset valued at INR 12,000, and you sell it for
INR 10,000, the net book value of the block is still INR 2,000, even though
there are no assets in it.
The system stores the capital loss amount in a table for your future
reference.
Regards,
Raghavendra.M
SAP-Practice
Edited by: Raghavendra Muchukota on Jan 23, 2009 11:31 AM

AUC- IO settlement

Hi experts,
I am trying to settle AUC-IO I am getting error : No Accrued amount, settlement not possible( Error KD:256)
Process : Created Asset in 800 - AUC class. Created IO - ZCP. Passed the expenses entry with IO and CCTR.
Did KKAI ( RA- analysis) and KO8G settlement throwing me the error.. Help me out...
Regards,
Sandeep

Hi
Herewith i am giving the process steps for AUC.
1.Create AUC Asset under Asset class (WIP/AUC) AS01 400001 (AUC)
2.Create Internal order T.Code:KO01 Order Type (200 AUC/Construction)
3.Change Internal Order KO02 Give Settlement Rule with AUC Asset
4.while creating internal order if we select Investment profile 000001 (internally AUC asset will create)
5.Change Internal Order KO02 Release (TECO)
6.Post GL exp to the Order in FB50 / FB60
7.Actual Cost line items for Orders T. Code KOB1
8.Asset Settlement :Order KO88/ko8g
9.Asset explorer u2192 AW01N
10.Order settled to AUC
BR,
ANIL

AUC asset settlement to P&L account

Hello Experts,
Can we transfer the AUC value to P&L account directly through F-02, without capitalizing and scrapping it? No error showing Asset is investment measure, transaction type is not allowed. Is there any relevant transaction type available for this process? Is it compulsory to follow the usual steps of capitalizing, scrapping and charging off to P&L or we can directly do the posting?
Thanks in advance.
Regards
Partha

Hi Partha,
you can post the entry from AUC to P&L account with t coe FB01.
AUC credit (75). (use TTY 20A- retirement without revenue)
P&L account Debit (40).
Regards,
Ravi

AUC Asset Settlement to Real Asset

When I am settling an asset using aibu it gives error message "Settlement before period 011 2007 is only possible after reversal" if I give posting Date in period 10. If I give posting date in Period 11 it goes thru. Why this is happening. We have many assets that were settled in Period 10.

Hello Sandy
According to standard logic of settlement, you cannot settle in periods preceding
those of previous settlements (even though nothing has been settled
in those periods). Settlement should always follow the chronological
sequence of periods (at least to make possible a consistent reversal,
if needed). Error KD538 will be correctly displayed.
Regards
Javier

AUC distribution and settlement based on quantity

we have a requirement. my client want to procure 100 air conditioners under AUC, and want to capitalize it at the time of putting it to use. So, we need to capitalize the asset based on quantity. Is there any method to distribute/settle based on quantity. As i can only find option of percentage and amount in distribution rule.
regards

hi,
did you try it with
Equivalence number for order settlement
The costs collected in the sender object are distributed to the settlement receivers, in proportion to the equivalence numbers.
Kind Regards
Tarik

KO88 - Error when settling for Cost Center AND Auc for the same Internal Or

Hi Experts,
We need to configure Investment Internal Orders that could settle to both Cost Center and Auc, but each assignments with different Source Cost Elements
We did the following:
1. Created Auc Class
2. Created Investment Profile "IMOBIL" and assigned to Auc Class, flagging Auc
3. Created Allocation Structure "CV" with two assignments:
01, Source = Cost elements 7000000000 to 7999999999, receiver AUC "by cost element"
02 Source = Cost elements 4000000000 to 4999999999, receiver CTR "by cost element"
4. Created Model Order, filling the Investment Profile IMOBIL created in step 2.
5 Created Settlement Profile ZCV0001, assigning Allocation Strucutre CV, allowing CTR and AUC for receivers, default receiver is "FXA", doc type "AA".
6 Created ORder Type CV01, assigning Settlement Profile ZCV0001.
When I post only for Asset Expenses (Source Cost element 7, Assigment 01), the settlement through KO88 correctly settles to AUC, and also creates the settlement rule for cost center (i'm using the strategy to create from Responsible Cost Center).
But when I post for Asset Expenses (cost elements 7, receiver AUC) AND General Expenses (Source Cost element 4, receiver CTR), KO88 generates an error KD506, saying that for Assigment 02 - AUC I didnt define a settlement cost element.
1. Assignment 02 is not AUC, is CTR;
2. I flagged "by cost element", so I don't need a settlement cost element. And also, I was able to post to AUC when the source posting was only for cost element 7.
Did you face any problem like this?
I cannot find out what is the missing configuration, or if it is a program error...
Kind Regards
Mayumi Blak

Hi Ajay
I already created Source Structure and assigned to my Setllement profile (so I assigned Allocation Structure AND Source Structure).
I don't understand when you say that I need to assign the Source Sutrcture in each rule....because the Source structure is in the Settlement Parameters valid for both rules...
When I post to Asset Expenses only for the internal Order, the 2 rules (CTR and AUC) are created when I run KO88 (but only AUC rule is settled). This is OK.
The problem is when I post for both General Expenses AND Asset Expenses, the system is not recognizing that I have 2 source structures, neither is findind that for CTR AND AUC the Settlement cost elements are the original cost elements.
I'm thinking about changing message KD506 to warning, do you know if this can help?
Kind Regards
Mayumi Blak

FI-AA: Unable to settle costs off of AUC

In Depreciation area 01 (Book Depreciation), planned/posted values were recorded on an AUC via settlement from WBS Elements during FY 2006.
In Depreciation area 80 (Insurance Values), planned/posted values were recorded on an AUC via settlement from WBS Elements during FY 2006. Planned depreciation values are calculated and post as Non-Insurable value on the AUC during FY 2006.
In FY 2007, all values posted to the associated WBS Element are journal entried off to another WBS Element and the AUC is zeroed out once the settlement from the WBS Element has posted. The Non-Insurable value has been carried forward to FY 2007 and remains on AUC.
In FY 2008, an AMR is created. Both Settlement to AMR for Current Year and Settlement to AMR for Prior Year are executed but the Non-Insurable value still remains on the AUC. This has prevented us from Closing the WBS Element and deactivating the AUC.
I'm assuming that when you execute Settlement to AMR - Prior Year that it only goes back and looks at the previous FY and not all previous years, which is why the Non-Insurable value remains on the AUC.
I need to clear this Non-Insurable value, which was posted two years ago, off the AUC so that we can Close the WBS Element. Any ideas on how to do that?
Also when it comes to AMR creation, is it common practice to create the AMR at the same time the AUC is created or at least have the AMR created by the end of the next FY? In our situation above I think if we would have created the AMR in FY 2007 and executed Settlement to AMR - Prior FY in FY 2007 we not have encountered this problem.
Any help would be greatly appreciated.

Thanks for the response.
Note 425601, if I'm reading it correctly, explains how to settle costs posted in previous years from the WBS Element to an AUC.
In my situation all costs have been settled from the WBS Element. I have an AUC that has costs on it from two years ago that I don't know how to settle to an AMR. This preventing us from Closing the WBS Element.

WBS element settlement to an AUC

Hi Everyone,
WBS element is settled to an AUC asset on periodic basis and on completion of the project the AUC is settled to a regular asset; in this process once the project is complete its status is set to technically complete before settling the AUC to regular asset. Now, my question is if there is a requirement to continue the same project as a second phase meaning incurring the costs to the same WBS element which is set as TECO; is that something possible at all i.e,. to post the costs on a WBS that is technically complete? If so, then would it be possible to settle the second phase costs to a new AUC asset and so forth for third and fourth phases of the project.
Your input in this regard is highly appreciated and will be awarded with points.
Thanks in advance,
Kumar

Hi Abhilasha,
Thanks a lot for your input. I have one more question; according to your information once WBS status is set to TECO it still can take FI postings in that case would those postings be settled? If so, then could that be a AUC? I know you said a WBS can be settled to only one AUC but, the client here wants to settle it to a new AUC for the second phase of construction of the project. So, settling the WBS to a new AUC is not at all a possibility? Could you please confirm?
I did not quite understand the point that WBS can take FI Postings after it is set to status TECO, could you please clarify a little bit on that?
Thanks,
Kumar

Internal Order Settled to AUC reverse process

Dear Gurus,
I had a hard time to think how to do the processes over and over again.
The current process is:
Every month the internal order (investment and real order) will collect the expense on AUC and settle to the AUC.
At the end of year, the AUC will be settled to Fix Asset by internal order settlement rules.
Now what if the settled expense was not correct. For example, in 2009, I created the IO and settled the IO to AUC in several months. But in 2010, I found the expense in IO shall not be settled to AUC, the expense was only the overheads. ( The AUC was not settled to Fix Assets). Just like I wanna reverse the settlement in 2009.
So it would be like this in a flow chart.
IO-> AUC->FX
Now I need to do this:
AUC->IO->GL
For IO->GL, I have figured out that I can change the settlement rule profile and make the GL account allowed.
But for AUC->IO , I have no idea and almost burn my brain on it.
Could you please help to throw light ?
Emma

Hi,
I tried 2 write offs, please help to see whether I am doing right. Thank you!
I tried to reverse the document but it was not allowed.
I am thinking to post a document like the following:
1. Doc in 2009
50 8910000000 settlement AUC             2,964,800.00-        Order:C1BIC83002
70 3270600041 000327000032 0000    2,964,800.00
2. What I want to post:
40 8910000000 settlement AUC         2,964,800.00      C1BIC83002
75 3270600041 000327000032 0000    2,964,800.00-
But it gave me an error when I enter the asset number.
Asset is investment measure, transaction type not allowed
Message no. AK005
Diagnosis
Asset   that is to be posted is an investment measure. You are not allowed to post transactions that affect acquisition value using the current transaction.
Procedure
Check the asset and transaction type 160.
I am not sure which transaction type is correct.
Emma.

AUC - distribute & settlement

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