Asset Accounting SAP Best Practices. ©2012 SAP AG. All rights...

download Asset Accounting SAP Best Practices. ©2012 SAP AG. All rights reserved.‹#†Purpose, Benefits, and Key Process Steps Purpose ï‚ The Asset Accounting (FI-AA)

of 13

  • date post

    23-Dec-2015
  • Category

    Documents

  • view

    225
  • download

    4

Embed Size (px)

Transcript of Asset Accounting SAP Best Practices. ©2012 SAP AG. All rights...

  • Slide 1
  • Asset Accounting SAP Best Practices
  • Slide 2
  • 2012 SAP AG. All rights reserved.# Purpose, Benefits, and Key Process Steps Purpose The Asset Accounting (FI-AA) component is used for managing and supervising fixed assets with the SAP System. In Financial Accounting, it serves as a subsidiary ledger to the General Ledger, providing detailed information on transactions involving fixed assets. Benefits Entire lifetime of the asset from purchase order or the initial acquisition (possibly managed as an asset under construction) through its retirement. Calculate values for depreciation and interest Depreciation forecast Key Process Steps Acquisition from purchase with vendor Acquisition with Automatic Offsetting Entry Retirement with revenue Asset Sale without customer Post-Capitalization Write-Ups Settlement Assets Under Construction Down Payment Request for Assets under Construction Depreciation Posting Run Depreciation Simulation/Primary Cost Planning Income Tax Depreciation for India
  • Slide 3
  • 2012 SAP AG. All rights reserved.# Required SAP Applications and Company Roles Required SAP Applications Enhancement package 5 for SAP ERP 6.0 Company Roles Assets Accountant Accounts Payable Accountant General Ledger Accountant
  • Slide 4
  • 2012 SAP AG. All rights reserved.# Detailed Process Description Acquisition from purchase with vendor An external asset acquisition is a business transaction resulting from the acquisition of an asset from a business partner. The acquisition can post integrated with Accounts payable or without Accounts payable. Acquisition with Automatic Offsetting Entry The asset can be posted automatically against the Clearing account fixed asset acquisition. Retirement with revenue An asset is sold, resulting in revenue. The sale is posted with a customer. An asset is sold, resulting in revenue. The sale is posted against a clearing account. An asset had to be scrapped, with no revenue. Asset Sale without customer Asset Sale with partial retirement without customer
  • Slide 5
  • 2012 SAP AG. All rights reserved.# Detailed Process Description Post-Capitalization Post-capitalization represents subsequent corrections to the acquisition and production costs (APC) of a fixed asset. Write-Ups A write-up is generally understood to be a subsequent change to the valuation of an asset. Settlement Assets Under Construction Assets under construction (AuC) are a special form of tangible asset. Assets under construction can be managed for summary settlement or by line item. Down Payment Request for Assets under Construction Down payments for assets under construction are fixed asset acquisitions that have to be capitalized and reported as a separate item on the balance sheet.
  • Slide 6
  • 2012 SAP AG. All rights reserved.# Detailed Process Description Depreciation Posting Run The depreciation posting should be run periodically because the depreciation accounts are not updated immediately. The system creates posting documents for each depreciation area and account group in accordance with the posting cycles specified in Customizing Depreciation Simulation/Primary Cost Planning You can also post the planned depreciation as planned costs to the cost centers or internal orders to which the individual fixed assets are assigned. Income Tax Depreciation for India In depreciation computation as per the Indian Income Tax Act 1961, the organizations need to calculate the depreciation on a block of assets and not individual asset level. Depreciation amounts is used for Tax Calculation. Closing WDV (Written Down Value) of a block for a given year, becomes the Opening WDV for the following year which is required to calculate the depreciation amount for the following year.
  • Slide 7
  • 2012 SAP AG. All rights reserved.# Process Flow Diagram Asset Accounting - Overview Asset Accountant Event Asset Explorer Asset Master Data Needs to Be Created General Ledger Accountant Asset Acquisition Retirements Intercompany Transfer Post - Capitalization Write-up Unplanned Depreciation Assets under Construction Periodic Processing Information System Check Consistency Maintain Opening WDV of Blocks
  • Slide 8
  • 2012 SAP AG. All rights reserved.# Process Flow Diagram Asset Accounting Asset Acquisition Asset Accountant Event Acquisiti on with Accounts Payables Acquisition with Automatic Offsetting Entry Asset Acquired Acquisition Integrated with Accounts Payable Accounting 162 Overview Yes No
  • Slide 9
  • 2012 SAP AG. All rights reserved.# Process Flow Diagram Asset Accounting Retirements Asset Accountant Event Retireme nt with Revenue Expected Retirement Due to Scrapping Asset to Be Retired Retirement with Revenue and Customer 162 Overview No Retireme nt with Custome r Retirement with Revenue without Customer No Yes
  • Slide 10
  • 2012 SAP AG. All rights reserved.# Process Flow Diagram Asset Accounting Asset under Construction Asset Accountant Event Capitalize Asset under Construction Captial Asset Needs to Be Constructed without Investment Order 162 Overview Accounts Payable Post Down Payment Request Post Down Payment Down Payment Approved Post Closing Invoice Clear Down Payment
  • Slide 11
  • 2012 SAP AG. All rights reserved.# Process Flow Diagram Asset Accounting Periodic Processing Asset Accountant Event Periodic End Closing Recalculate Values 162 Overview Open and Close Financial Period Asset Depreciation Posting Run Post Acquisition and Production Cost Value List of Individual Postings for Assets Depreciation Simulation and Primary Cost Planning Year End Fiscal Year Change for Asset Account Reconciliation Year End Closing for fixed Assets AUCSettle -ment (164) Yes No Depreciation Run AUCSettlement General Ledger Accountant
  • Slide 12
  • 2012 SAP AG. All rights reserved.# Legend SymbolDescriptionUsage Comments To next / From last Diagram: Leads to the next / previous page of the Diagram Flow chart continues on the next / previous page Hardcopy / Document: Identifies a printed document, report, or form Does not correspond to a task step in a document; instead, it is used to reflect a document generated by a task step; this shape does not have any outgoing flow lines Financial Actuals: Indicates a financial posting document Does not correspond to a task step in a document; instead, it is used to reflect a document generated by a task step; this shape does not have any outgoing flow lines Budget Planning: Indicates a budget planning document Does not correspond to a task step in a document; instead, it is used to reflect a document generated by a task step; this shape does not have any outgoing flow lines Manual Process: Covers a task that is manually done Does not generally correspond to a task step in a document; instead, it is used to reflect a task that is manually performed, such as unloading a truck in the warehouse, which affects the process flow. Existing Version / Data: This block covers data that feeds in from an external process Does not generally correspond to a task step in a document; instead, this shape reflects data coming from an external source; this step does not have any incoming flow lines System Pass / Fail Decision: This block covers an automatic decision made by the software Does not generally correspond to a task step in the document; instead it is used to reflect an automatic decision by the system that is made after a step has been executed. Externalto SAP Business Activity / Event Unit Process Process Reference Sub- Process Reference Process Decision Diagram Connection Hardcopy / Document Financial Actuals Budget Planning Manual Process Existing Version / Data System Pass/Fail Decision SymbolDescriptionUsage Comments Band: Identifies a user role, such as Accounts Payable Clerk or Sales Representative. This band can also identify an organization unit or group, rather than a specific role. The other process flow symbols in this table go into these rows. You have as many rows as required to cover all of the roles in the scenario. Role band contains tasks common to that role. External Events: Contains events that start or end the scenario, or influence the course of events in the scenario. Flow line (solid): Line indicates the normal sequence of steps and direction of flow in the scenario. Flow line (dashed): Line indicates flow to infrequently-used or conditional tasks in a scenario. Line can also lead to documents involved in the process flow. Connects two tasks in a scenario process or a non-step event Business Activity / Event: Identifies an action that either leads into or out of the scenario, or an outside Process that happens during the scenario Does not correspond to a task step in the document Unit Process: Identifies a task that is covered in a step-by-step manner in the scenario Corresponds to a task step in the document Process Reference: If the scenario references another scenario in total, put the scenario number and name here. Corresponds to a task step in the document Sub-Process Reference: If the scenario references another scenario in part, put the scenario number, name, and the step numbers from that scenario here Corresponds to a task step in the document Process Decision: Identifies a decision / branching point, signifying a choice to be made by the end user. Lines represent different choices emerging from different parts of the diamond. Does not usually correspond to a task step in the document; Reflects a choice to be made after step execution
  • Slide 13
  • 2012 SAP AG. All rights reserved.# No part of this publication may be reproduced or transmitted in any form