
Explore a SAP asset accounting depreciation scenario using planned versus actual units to calculate monthly per-unit depreciation with zero salvage value over five years, and configure depreciation keys.
Learn in a system demo how SAP asset accounting handles depreciation using units of production, showing asset cost, life of the asset, and monthly depreciation.
Apply the sum-of-years-digits depreciation method to a 100,000 asset with a five-year life, considering salvage value to compute depreciable amount and allocate depreciation by year.
See a system demo of SAP asset accounting with ordinary depreciation posting from Jan to Jun 2020, plus scrap value, depreciation key setup, and cost acquisition across years.
Follow a defined sequence of backend configuration steps in SAP asset accounting, including depreciation key setup, valuation and calculation methods, and multi-level methods, to determine depreciation basis and timing.
Configure depreciation methods in SAP asset accounting by following sequence: set valuation and calculation methods, define multilevel methods, choose the basis (straight-line, declining balance, production units), and set depreciation controls.
Explore the SAP asset accounting multi-level method for depreciation, including declining balance and proportional value adjustments, and learn how to configure depreciation keys and safely modify settings.
Configure period control methods in SAP asset accounting, including acquisition additions, retirement, transfer, and revaluation, and set depreciation start dates aligned with business requirements and standard 001 or custom methods.
Learn how to configure the depreciation key in SAP Asset Accounting, including step-by-step setup, activation, and how to align position, valuation method, and acquisition settings for accurate depreciation calculations.
Explore the configuration steps for SAP asset accounting depreciation methods, covering system setup, user roles, posting, reporting, and end-of-month depreciation key configuration.
Learn how to create and configure a base method for depreciation in SAP asset accounting. Navigate SPRO to depreciation and calculation methods, copy or modify the depreciation key, and save.
Learn to configure the multi-level depreciation method in SAP asset accounting, including capitalization, production units, net book value, sum-of-digits, acquisition value, and face value settings.
Learn period control methods and how to create depreciation keys in SAP asset accounting, covering acquisitions, retirements, transfers, and revaluations, with sum-of-digits, multilevel, straight-line, and declining balance methods.
Create asset master data in SAP Asset Accounting, set the depreciation key and production units, and learn how to handle errors and update the depreciation key after production.
Explore creating assets, adjusting depreciation, and posting asset invoices in SAP Asset Accounting. Learn to handle external acquisitions, set depreciation areas, and review the posted document numbers.
Use Asset Explorer to view depreciation postings, verify posted depreciation for periods, adjust remaining units, and run recalculation to reflect updated values for 2020 and 2021.
Create asset master data in SAP asset accounting and activate the depreciation key to enable depreciation posting, assigning annual depreciation across five years and reviewing activation status.
Post the asset invoice to record acquisitions and external postings. View posted documents and review the asset line in the asset explorer; update specific fields via S&P Global parameters.
Explore the asset explorer to understand how salvage value affects depreciation calculations, differentiate ordinary depreciation from system calculations, and learn to set salvage value for assets or asset classes.
Maintain production units in SAP Asset Accounting by configuring depreciation keys, tracking remaining production units, and preparing for posting business transactions.
Maintain new year production units in SAP Asset Accounting by configuring a depreciation key, company code, and production unit entries, using system-calculated totals and preparing for depreciation postings.
Learn how to re-calculate depreciation for the new year in SAP asset accounting by maintaining values, updating unit counts, and running background recalculations for accurate postings.
Learn to maintain the salvage value in sap asset accounting by configuring depreciation areas, depreciation keys, and scrap values, then recalculate depreciation to reflect changes.
This Course basically covered two depreciation methods one is units of production and another one is the sum of digits year.
in this course, we explained business scenarios to sap system configurations. by end of this course, you will be familiar with all steps.
1. Production Units Method
You can change the total output quantity, or the remaining output, to the exact periods. The system then calculates unit-of-production depreciation based on the new total output quantity or the new remaining output, starting with the period in which the change was made.
Specify the probable output quantity for every depreciation period in fiscal years that are still open.
Calculation:
Depreciation = acquisition value (net book value) / total output (remaining output) * period output
2. Sum of Digits Method
Use
For each year of the expected useful life, the system notes the remaining useful life for the assets and totals the figures in each year. In each fiscal year, the remaining life is divided by this total in order to calculate the depreciation percentage rate for that fiscal year. This method leads to depreciation amounts that are reduced progressively by the same amount each period.
Since the remaining useful life is no longer defined after the end of the planned useful life, this depreciation method does not allow for depreciation after the end of the planned life. However, you can change to another method after the expected useful life has expired.
Acquisitions after the depreciation start year or post-capitalization will necessarily lead to a positive net book value at the end of planned life. For this reason, such transactions are not allowed when using the sum-of-the-years-digits method of depreciation. With this method, you have to handle subsequent acquisitions by creating sub-numbers. It is also a requirement that the acquisition year is the same as the depreciation start year.
Calculation :
Depreciation = APC * remaining useful life (current period) / total of remaining useful life (over entire useful life)