1. Define a transaction type.
During the life of an asset there are a number of changes that affect the value of the asset. The FI-AA System recognizes a wide range of business transactions. Transaction types make it possible to handle all of the necessary postings appropriately.
2. It is possible that an asset acquisition is posted in two steps or in two different departments? How do the two entries clear?
When the asset acquisition is posted in two steps or two different departments, you normally post to a clearing account. Use a general ledger account with open item management to guarantee that this account can be cleared. Either the FI department includes this clearing account in their periodic run of SAPF123 (Automatic clearing program) or the clearing account has to be cleared in an additional step (Menu path: Posting > Acquisition > External acquisition > Clearing offsetting entry).
3. What is the difference between non-valued and valued? Explain their implications on Asset Accounting.
For non-valued, the goods receipt takes place before the invoice receipt and the values are not yet posted to Asset Accounting. The line items are created and the values are updated instead at the time of the invoice receipt. However, the system uses the date of the goods receipt as the capitalization date. At time of invoice receipt the asset is capitalized, line items are created, and the value fields are updated.
For valued, the goods receipt takes place before the invoice receipt and the values are posted directly to Asset Accounting. The asset is capitalized, line items are created, and the value fields in the asset are updated. When the invoice is received later, there may be differences between the invoice amount and the amount posted at the time of goods receipt. In this case, the corresponding adjustment postings are made to the asset.
4. There are certain pieces of information automatically set in the asset master record at time of acquisition. What are they?
The following information is automatically set in the asset master record at the time of the first acquisition posting:
• Date of capitalization
• Posting date of original acquisition
• Acquisition period
• Depreciation start date per depreciation area.
5. Most asset transfers are described as either inter-company or intra-company. What is the difference?
Inter-company transfer indicates a transfer between company codes. This transfer creates a new record at the target company and posts the values according to the posting method selected.
Intra-company transfer indicates a transfer within one company. Reasons for such a transfer include:
• The asset has changed location. As a result, you have to change organizational allocations (i.e., asset class, business area) in the master record that cannot otherwise be changed.
• The asset needs to split. Therefore, a portion of the original asset will be transferred to a new asset.
• The asset under construction needs to transfer its costs to a real (depreciable) asset.
6. Define transfer variant.
The transfer variant specifies:
• The method according to which the transferred asset is valued in the receiving company code
• The transaction types (retirement/acquisition) that are used for the transfer
Your specification of the transfer variant can be dependent on the following:
• The type of relationship between the company codes involved (legally dependent/independent)
• The cross-system depreciation area
7. For assets that the company produces itself, why are there two phases relevant to Asset Accounting? What are they?
The two phases relevant to Asset Accounting for assets produced in house are the under construction phase and the useful life phase. The assets have to be shown in two different balance sheet items during these two phases. Therefore, they have to be managed using a different object or asset master record for the under-construction phase and for the completed asset. The transfer from under-construction phase to completed asset is referred to as “capitalization of the asset under construction”.
8. True or False? Using the Asset Accounting module, it is no longer necessary or possible to manually plan depreciation.
False. In addition to the automatic calculation of depreciation using depreciation keys, you can also plan manual depreciation for individual assets in the FI-AA system.