Asset Net Book Value is not becoming NIL after end of useful life

[Former Member]

Hi Experts.

Assets have been created in SAP system with useful life 2, 3 years etc. The depreciation calculation for these assets is correct as per the depreciation percentage given in Depreciation key. However in Asset Explorer when i check on the comparison tab the Asset net book value is not becoming NIL even after the end of useful life.

Please guide on this as to the reason being the assets book value not becoming to ZERO after end of useful life.

Regards

Archana

[Former Member · Accepted solution]

Hi Archana,

If you want the system to depreciate the asset through end of useful life then don't give percentage in multi level method and system will derive the percentage automatically and depreciate the asset during the end of useful life (See below)

If you want to depreciate the asset on the basis of %age and have given useful life then system stop depreciating the asset after end of useful life but thereafter the balance will remain at the end. In this case, if you want system should make the balance zero then use changeover method to full depreciate the asset in last year of useful life.

Let me know if you need any help !

Thanks,

Ankur

Thanks,

Ankur

[Former Member · Accepted solution]

Hi Archana,

Ref below screenshots also

Thanks,

Ankur

[Former Member · Accepted solution]

Hello Ankur Sir

For changeover method i had done the following setting

Multilevel method

asset detail

The net book value is not becoming zero as per changeover method applied.

Regards

Archana

[Former Member · Accepted solution]

Hi Archana,

Please send the screenshot of useful life also.

I will replicate the same scenario in my system also.

% age taken is 7.07%

Thanks,

Ankur

[Former Member · Accepted solution]

Sir,

useful life is given as 12. I have attached the 3rd screen shot ,

[Former Member · Accepted solution]

Hi Archana,

Your configuration is correct. In comparison tab click on year 2026 your net book value should be zero. See below

Thanks,

Ankur

[suma_mani]

Hi Archana,

Please check any cut off value assigned to deprecation key ( AFAMA ) transaction code.

Regards

Mani

[Former Member]

Hi Archana,

Have you checked whether there is any scrap value defined in asset master for that depreciation area?

Regards,

Gaurav