Memo value in Asset

In OAYI, I set 1usd(Set memo value per company code/depreciation area)
and In asset master, i set 0 usd(additional specifications in depreciation area tab)
So, this asset's memo value(or scrap value) is 1 usd or 0 usd ??
what's is right?
I guess 0 usd is right, but it's memo is 1 usd(in AW01N).
my mistake??

Hi ,
The purpose of a memo value is different from that of a scrap value.
<b>Memo Value</b> - The memo value is the residual value which u want to reflect in the balance sheet. Usually you do not need to manage memo values, since Asset Accounting (FI-AA) always manages gross values. This means it records both the acquisition value and accumulated depreciation, not just the net book value of assets. In this way, the system guarantees that even fully depreciated fixed assets appear in all legally required reports, even if they have a net book value of zero.
<u><b>Scrap Value</b></u> - It may sometimes be necessary to depreciate assets not to net book value zero, but only up to a scrap value or cutoff value. Therefore, the system enables you to set up a time-dependent scrap value for assets per depreciation area. There are two ways of specifying the scrap value:
&#9679;     By assigning a scrap value key to the depreciation key used in the depreciation area
&#9679;     By entering an absolute scrap value in the asset master data for the depreciation area
If you enter both an absolute value and a percentage, the standard system uses the percentage rate. SAP recommends that you always enter a percentage rate.
Hope this response provides you a more holistic view of both the options. Please reward points as a way of sayinbg thanks.
Cheers
Kartik
<u></u>

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