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Former Member

asset reconciliation account creating cost element

Hi,

I heard that asset reconciliation account need to be created as cost element, and need to set cost element category as 90.

I use FS00 to create a asset reconciliation account and i want to create it as cost element, but the system give error message: Account is a balance sheet account.

What is the right way to create cost element for asset reconciliaiton account? What is the use of this?

regards,

supriya thodimela.

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  • author's profile photo Former Member
    Former Member
    Posted on Dec 05, 2007 at 06:52 AM

    Normally P&L accounts will be created as Cost elements.

    Recon account should not be created as cost element. There is no purpose in creating recon account as CE. what do you achieve ?

    if you want to post dep the create dep P&L as CE and assigen coset center to asset, so Dep will flow to cost center A/c

    Thanks,

    Sujai C

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  • author's profile photo Former Member
    Former Member
    Posted on Dec 05, 2007 at 07:06 AM

    Hi

    Read the below message

    90: Cost Elements for Balance Sheet Accounts in FI

    Automatically assigned when you create cost elements in CO whose general ledger accounts in FI are asset reconciliation accounts (special balance sheet accounts), not income statement accounts. You cannot change this category in CO master data maintenance.

    FI does not require CO account assignments to cost elements of category

    90. However, if you enter an account assignment, it is only recorded statistically for true objects.

    Category 90 cost elements enable you to check the budget of an order or project when you acquire fixed assets that can be directly capitalized. To do this, enter the capital investment order or the WBS element in the corresponding field of the asset master data. Asset Management (AM) ensures that the specified order or WBS element is automatically entered in the document during the asset acquisition.

    In CO the order or WBS element is debited statistically. This statistical debiting is checked by the system using the budget during availability control.

    Hope this will answer your query

    Good Luck

    Hari

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