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Former Member

Fixed assets

Hi all.

I want to create a fixed asset and say what their depreciation already calculated. How do I do?



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1 Answer

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    Former Member
    Apr 13, 2016 at 10:30 AM

    Hello Sara,

    Fixed assets are tangible or intangible assets that can be identified on the closing key date as an individual asset.

    If your solution has been configured accordingly, fixed assets are created automatically in the integrated procurement and invoicing process based on individual materials, to which acquisition and product costs are posted. Fixed assets and individual materials can also be created and posted manually.

    An individual material is a component of a fixed asset that is valued separately and whose inventory is tracked separately. The individual materials assigned to a fixed asset are shown on the Master Data tab of the fixed asset.

    You can create fixed asset from the below steps;

    Create a Fixed Asset

    1.Click New, then Fixed Asset or Subasset.

    2.Enter a description, company, and asset class. If you are using a profit center and segment reporting, you also need to specify a cost center.

    3.Save your entries. A fixed asset is created from the individual material automatically.

    4.Messages will appear if any depreciation terms are missing. This can happen if not all default values were defined in the fixed asset class in business configuration. Click View All to add the missing entries on the Master Data > Asset Valuation tab.

    Fixed asset depreciation:

    When a fixed asset is created, the depreciation terms are automatically transferred from the default values of the asset class to the master data for each valuation view. Based on these depreciation terms, depreciation and special depreciation are calculated automatically using legally required and commonly used procedures. The calculated depreciation is automatically posted in depreciation runs which you execute periodically.

    Basis of Depreciation Calculation

    Acquisition costs from acquisition postings as well as any depreciation of a fixed asset already made (net book value) form the basis for calculating asset depreciation (calculated net book value at the start of the fiscal year). Depreciation normally ends once the book value reaches zero.

    Depending on legislation and international accounting principles, the replacement value defined for a fixed asset for the manual posting of revaluation can also serve as the basis for the subsequent depreciation calculation. For cost-accounting valuation views or valuation views used for insurance purposes, this replacement value is usually calculated automatically with an index series and then posted.

    Process flow is clearly explained in the help center document - Automatic Fixed Asset Depreciation.

    Also refer to below documents - Fixed Assets, Fixed Assets Quick Guide, Fixed Assets - Master Data..

    Hope this is helpful.

    Best Regards,

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