Depreciation on Retirement

Dear All
I have purchased an Asset on 10.04.2008 for Rs. 3,00,000. Now i want to Retire/Sell it on 26.09.2008 for Rs. 2,50,000. How to calculate depreciation for the 26 days. What is the process?
Please advice.
Thanks and Regards
Kanwaljit

Hi
Thanks for your reply. It is calculating the depreciation for the whole month and not for 26 days.Please advice.
Thanks and Regards
Kanwaljit

Similar Messages

Depreciation before Retirement.

Dear All,
I have questions about the depeciation before the retirement.
For example:
I have an asset which APC is 10000 and accum. depe is 1000. The planned depre is 100 per month. On current month (let's say Sep), I have shut it down. Then till Nov, I will retire the asset.
How about the depreciation on Sep, Oct and Nov? The deprecation will run 100 on Sep rt? But how about the depreciation on Oct and Nov? Will it start to run when I retire the asset? Totally 200 on Oct and Nov. Then the overall depreciation before retirement is 1300 rt?
What if I don't want the deprecitation to be re run for Oct and Nov? Any place I can config in for it?
Thank you and good day
Emma

Hi Emma,
there is not only one answer to your question. In fact the answer is: it depends on your configuration.
If you for example use a straight-line depreciation method "APC over useful life", then the system will not catch up the shutdown periods. Whereas if you would use "net book value over remaining useful life", the system will within the asset lifecycle catch-up the non taken expense.
So my recommendation is to try this out in your system first with your current configuration. If you then have a concrete example which you can´t explain, you could post it here.
Regards,
Markus

Derived depreciation on retirement of Asset

Hi
I have configured the derived depreciation and entry is getting generated for the depreciation posting. But for retirment of asset derived depreciation is not getting calculated.
Anyone put some suggetiion for this issue.
Thanks in advance

Hi,
Use of derived depreciation area is to findout the values of assets as per diff valuation, this valuation might be mathematical formula based, which is based on other dep areas.
Dep areas, which are used in derived dep area, needs to have the same currency maintainance.
The functionality of derived dep area:
1) Only dep rates might be diff from one area to another area, in this case only derived dep areas will get values in to it.
2) but where as acquisition, there would not be any value in this area, only in the case of full (100%) use of values from dependent areas used......
Thanks,
Srinu

Preventing asset depreciation on retirement

We will be acquiring assets that need to be retired (to a customer) in the same month as the acquisition (and then acquired in a different company code).
Even though depreciation is only posted at the end of the month depreciation is still recognised so that one months accumulated deprecation is posted to the GL, and the total owed by the customer is reduced.
We will not be using separate assets classes for the assets to be retied, there will be a mix of assets in the same asset class, some to be retired and some not.
How can we create these assets to prevent the single months depreciation posting upon retirement?

Hello
I don't think we can top depreciation when the posting run is executed.
Blocking, deactivation and deletion are choices but it is not a final solution.
Think of replacing dep keys of the asset master record, choose the one which has 0 % and check
Re
assign points if useful

Depreciation On Retired Fixed Assets

Need assistance in troubleshooting an error reported during depreciation process. Error occurs when starting the process "GAINS/LOSS" section of the run. It reports error in CCID for a particular asset which has been retired due to sales. We've checked already checked all set-up relating to depreciation & retirement, which looks ok. Process goes through without error when we "unretire" the asset.
Any suggestions on what else to look out for?
WY Yap (m'sia)

Hi
Th reason for this is that retirement (scrapping) is calculated
as netbook value - less planned depreciation from the start fiscal year
until date of retirement) disregarding depreciation runs for the
period
Note 1162647 it does not explain this particular scenario
but in general refers that retirement is based on calculation on
planned annual values
Example:
Fixed asset values
start fiscal year 2008 (start 01/01/2008) is 1200
the useful life is 24 months = 50 to be depreciated per month
last depreciation run was for period 01/2008 , meaning the
netbook value was after that 1150 =(1200 - 50)
Then post retirement (total scrap) on 01/06/2008
The system will do retirement for the values calculated for the year
950 = (1200- 250 ) being 250 = 50 * 5 months (from start fiscal year
until date of retirement)
The depreciations will also being calculated and executed from
start fiscal year until date of retirement)
If this is not the case, I am afraid that you have to log a message on Sap portal for the assistance.

Getting Segment in the Asset Master ( Using SEGMENT Badi and not Prt Ctrs)

Hi,
We need the field Segment to be populated in the Asset Master to get the correct P&L Statements ( The depreciation run, retirements etc to post to the Segments) . We are using the segment Badi: FAGL_DERIVE_SEGMENT to derive Segments and NOT the Profit Centers
However, the field Segment missing in Asset Master (Class). The field segment is missing the Time Dependent view while creating the Asset Master Data. This is so because in the Configuration of Asset Accounting --> Integration with GL --> Additional Account
Assignment Objects is not showing the Segment field.
According to SAP help, I CAN DO THIS as mentioned
http://help.sap.com/erp2005_ehp_05/helpdata/en/94/f13167dbae436a85a4a1d3ad75f274/frameset.htm
But, as mentioned in the SAP help link above, I am not able to find " Activate segment reporting in
Customizing for Asset Accounting under Integration with General
Ledger --> Accounting Segment Reporting --> Activate Segment Reporting"
Also, from another SAP Help link
http://help.sap.com/saphelp_crm700_ehp01/helpdata/en/fb/84a48d665e4fa9a2dc7b60adeb7c7d/frameset.htm
I found that activation of Business Function FIN_GL_REORG_1
or FIN_REP_SIMPL_3 could also get us the Segment Field in the Asset
Master Data's Time Dependent Field
However, when I goto Transaction SFW5 - Change Business Function Statuswe are not able to find these Business Functions (FIN_GL_REORG_1
or FIN_REP_SIMPL_3 )
Regards
KS

Hi, Activate segment reporting is available only in EHP5.
If you'renot using EHP5, then you can't to update segment as well as profit center in asset master data.
The only way is to put co objects in asset master data, and derive PC,segment based on this co objects

How to make balance in reconcilation account

Hi gurus
When I am posting JV in FB50 by debiting to depreciation asset retirement account and crediting to asset account which is reconciliation account its giving error as below
Account xxxxx in company code xxxx cannot be directly posted to
Message no F5354
I want to make zero balance on this accounts as asset account is closed in the company code.
Please let me know how can i make them zero
Regards
Sunitha
Edited by: sunitha reddy on Mar 18, 2010 3:26 PM

Hi,
The error F5354 is not an unknown error:
Please check your account determination in AO90 as this error is a
typical customizing error.
Please be aware, that certain accounts cannot be reconciliation
accounts but are 'normal' GL accounts. That is an important reason why
this error does show.
Since the upgrade, the system checks now some account controls and that
is why you get the error message now (even if it was working before
with the same customizing and even if this account is not directly used
in the current transaction).
You may want to review the FI-AA consistency report re G/L Accounts:
IMG Path:
FI-AA -> Preparing for Production Startup -> Check Consistency
-> Consistency Report: Asset G/L Accounts (tx OAK4 = program RACKONT1),
here you will find the same error messages as in AFAB.
As per note 7595 indicates:
The balance sheet accounts and the accumulated depreciation accounts
must be characterized as reconciliation accounts of account type 'A'.
Down payment account KTANZA must also be a reconciliation account
of account type 'A'. The clearing account for down payments KTANZG
must not be set up as a reconciliation account.
Error message F5345 indicates that's you are using reconciliation
accounts in a depr. area which doesn't post online (T093-BUHBKT > '1')
So, if the accumulated depreciation account is a reconciliation account
it is fine. The problem must be found somewhere else. Maybe the account
is also used for a concept where non-reconciliation accounts are needed
(for example and offsetting account or a clearing account).
Please check table T095 in the account determination for revaluation.
The field KTAUFW is defined like KTANSW with the reconcilation account.
That is correct as they are balance sheet accounts.
But the contra account must not be the same, because when posting
revaluation the system try to post
with posting key 70/75 KTAUFW against 50/40 KTAUFG.
The problem is that reconciliation account can only be posted
with posting key 70 / 75.
So you have to change the contra accounts.
Regards Bernhard

Recon accounts- Open item managed

Hi All,
I have a doubt in Reconciliation accounts of Vendor/ customer & Assets. When we create a reconciliation account in GL master, it was created as non open item. but it is behaving as a open item. This function is working only for vendor & customer. why it is not working for Asset cases?
Regards,
Usha

Dear Usha,
Structure of handling transactions of Vendors/Customers is different from Assets. For Vendors/customers we don't have any depreciations and retirement type of transactions. We will maintain only two types of recon (normal & Special).
But if you see from the Asset Perspective its different. We have to do the depreciation, Asset retirements as well as the Asset Transfer. All transactions are belongs to the same asset but the treatment is given differently. For example for Depreciation also we have a recon account.
If we maintain only one Recon like AP/AR then it is very difficult to analyze these data differently. May be that is the reason SAP configured the Asset Recon account in this way. hope its helpfull. thanks
Regards,
Ahemmed

AS-IS Process - FI

Dear all.
Can anyone let me the know the AS-IS preparation format. how to start and where to start and what of information do we need to collect from the Client. Pls help me as I'm new

Hi,
First you need to aks the client what is their business process that means what they are doing exactly is it product based or service based how they are doing the business activities:
AS IS
     COMPANY CODE
                FINANCIAL ACCOUNTING BASIC SETTINGS
     Fiscal Year Variant
     Posting Period Variant
     Field Status Variant
     Chart of Accounts
     INTER COMPANY TRANSFERS
     FINANCIAL STATEMENT VERSION
     FUNCTIONAL AREA
     SET OFF OF VAT AND SERVICE TAX
     WITHHOLDING u2013TAX
     FIXED ASSETS
     Chart of Depreciation
     Acquisition
     DEPRECIATION RUN
     Retirement
     CLOSING ACTIVITIES
     CLOSING OF CIN ACTIVITIES
     CLOSING OF FI ACTIVITIES
You should collet the information about the above points then based on that information you can prepare the TO BE document.
the above information will give some help for the preparation of AS IS documentation.
Rgds \ Srinivasulu B

Difference between Asset and Equipment

Hi All,
Can someone tell me the difference between Asset (Created using AS01) and Equipment (Created using IE01).
Thanks,
Rock

Dear Rock,
Asset is a financial entity managed by SAP-AA (Asset Accounting) component. Though, it has some logistic data to manage (and one can always add user-defined fields) its main purpose is to manage fixed assets as a part of the company's financial statement by applying different tools like depreciation, capitalization, retirement etc. Equipment, however, is a logistic entity which allows you to manage the logistic flow for your assets, by tracing the place of installation, managing repair/service orders, parts of equipment, etc. An equipment (or several equipments) could be linked to a financial asset. It's important to emphasize that not every equipment is a financial asset, and not every financial assets is an equipment even if you are about to implement both AA and PM in your SAP project.
Regards,
Eli

Asset Cycle

Sirs,
I want to test a cycle in my test client for Asset Accounting in SAP.
Can anybody give the steps for test.
Regards,
BSR

->Create asset master data -as01
-> acquire assets
ex acquisition
in house production (T codes in easy access menu)
->Run Depreciation - AJAB
->Retire assets (many ways -chk easy access menu)
-> transfer assets - inter co, intra co
->Create AUCs - AS01
->Settle AUCs-AIBU to final assets
-Perform year end closing in AA
->Perform FY change - AJRW

Asset Status

HI,
In which table can i find the asset status ?
By status i mean whether the asset is active or its depreciated or retired.
thanks
Sandeep

Thanks for your reply.
Do we have any table where it stores status of the asset. I mean whether the asset is active or inactive?
I found one column by name in_use_flag in fa_Additions_b but even the asset is retired this column flag is set to YES.

FI-AA: no depreciation in depr. 15 (income tax) in fiscal year when retired

Hello all!
I have a question concerning settings for a FI-AA depreciation key concerning depr. area 15 (income tax; Slovakia):
Calculation of depreciation in depr. area 15 (income tax) must be ZERO in case of retirement during fiscal year (no pro rata until retirement date).
Thanks for an answer.
Bernd

Hi Bernd,
Use a depreciation key with period control 06 At the start of the year for retirements
When you have made depreciations run in old months in the year it will turned back with the retirement posting
Paul

Report Painter issues when trying to spool depreciation retired....

I'm trying to create a report and one of the lines required has to spool the depreciation retired but I can't seem to get this to happen. I have tried using transaction type for retirement but it's not working. Any suggestions?

Solved it...
<dataTemplate name="JOINS_TEST " dataSourceRef="DB2">
<dataQuery>
<sqlStatement name="DB2 HUBS">
<![CDATA[     SELECT HBMHBCD
                          FROM EMP012
                         WHERE HBMEXAG = 'E'
                     AND HBMSTAT = 'ACTV'
                ORDER BY HBMHBCD
                ]]>
</sqlStatement>
<sqlStatement name="ORACLE HUBS" dataSourceRef="PMDWTEST">
<![CDATA[
                SELECT TOUCHPT_ID
                  FROM HUB_INFO
                 WHERE EXEL_HUB_TYPE='EXEL'
             AND :HBMHBCD = TOUCHPT_ID
]]>
</sqlStatement>
</dataQuery>
<dataStructure>
<group name="G_HUBS" source="DB2 HUBS">
<element name="HBMHBCD" value="HBMHBCD"/>
<group name="G_ORACLE HUBS" source="ORACLE HUBS">
<element name="TOUCHPT_ID" value="TOUCHPT_ID"/>
<element name="REG_ID" value="REG_ID"/>
</group> -- PMDWTEST
</group> --- EXDBASETD
</dataStructure>
</dataTemplate>

Retired Asset Depreciation Issue

Hi
Good day to you.
We have a peculiar issue.
One of our Company Codes retired an asset with Asset Value date of 31.12.2007. But apparently they did not repeat the Depreciation run for December 2007.
When we try to do the Fiscal Year change to 2009, SAP is not allowing to do so as 2007 is not yet closed because of this unposted Depreciation.
But the problem is we cannot post this unposted Depreciation to 2007 as the Accounts have already been audited by one of the Big 4. Since the amount involved is small (approximately USD 18.63), it would be ideal if we can post this amount to 2008.
I would be very grateful if a way out is suggested. Points will be awarded for to-the-point suggestions.
Regards
Siddique

well i am not sure if this could be possible but as a general view point , if its possible try to reverse the retirement document and see if the depreciation could be run in 2007 dec itself.
regards
sayeed

Depreciation on Retirement

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