Asset Transfer Related Question

[Former Member]

We are uploading some assets from a SAP system to another under a new company code. The old company will sell the assets off to new company for cash payment at the Net Book Value so the assets in the new company will be uploaded as new assets.

Can anyone please tell what asset related information i.e. APC, Acquisition Date, Cap Date, Ordinary Depreciation and Net Book Value etc needed to be uploaded to the new system for the depreciation to work correctly?

[Former Member]

It seems that for the the new company code this is not legacy data transfer, but seen as a new acquisition. You would therfore disregard old company code data (that is APC, Accumulated Dep etc) and enter the Purchase cost (i.e. Old company's NBV) as your new company's Acquisition Value. The Capitalisation date would be whatever date you do the transfer (Purchase), based on your new companys asset configuration, the asset class, depreciation key etc. the system will derive the ordinary depreciation start date, useful life etc and calculate depreciation to be posted.

the NBV is calculated by the system as the difference between Acquisition and Accumulated Depreciation.

Hope this helps

Regards

Siva

[Former Member]

Thanks for the reply Shiva. This information is very helpful.

You mentioned that based on the new company's asset configuration,

the asset class, depreciation key etc. the system will derive the

ordinary depreciation start date, useful life etc and calculate depreciation

to be posted.

I have couple of questions:

What would be the implications if I upload the Useful Life also which is the remaining life of the asset in the old company?

[Former Member]

Again this is largely dependant on your system settings in terms of depreciation etc.

In general however, if you wish to keep the depreciation similar to what was being planned in the old company code then you would have to change the UL in the new company code to the remaining UL of the old company code (asset master).

For example in the new company code if your asset class has UL configured as 5 Years then the APC value (which is the NBV of the old company), will be recalculated to be depreciated over 5 years. If the remaining UL in the old company was 3 years and you enter this in the new asset (i.e. ignore what the config setup is) then the asset will be depreciated over 3 years and hopefully, based on your system settings for depreciation, the depreciation would be the same as if the asset was depreciating in the old company.

You can test this using AS91, where you can input the values as well as UL etc, to check in AW01N the system calculations.

Again all of this is dependant on your Asset configuration in your system. (i.e. the depreciation keys etc are the same as for the old company code.

Regards

Siva