ASSET ACCOUNTING ASSET ACCOUNTING: Asset Accounting components are used for valuation of Assets & Planning and Calc of Depreciation Depreciat ion ORGANISATION ASSETS
PLANNING & CALICULATION OF DEPRECIATION
VALUATION OF ASSETS BOOK VALUATION AS PER CO ACT INVESTMENT SUPPORT GROUP VALUATION INSURANCE
BV FOR TAX PURPOSE
COST ACCOUNTING
BANK
DEPRECIATION AREA TYPE
ADP VALUE Online
DEPRECIATION AREA TO BE MAINTAINED FOR EACH TYPE OF VALUATION OF ASSET
A) Real Time Depreciation B) Derived Depreciation Depreciation Example of Depreciation Area : 01 Book Depreciation 01 02 Special Purpose Depn 02 03 Special Depreciation Reserve 03 20 Cost Accounting Depreciation Deprecia tion 20
01 01 01 01
ACQUISITION AND PRODUCTION COST (APC) A) B) C) D)
DEPRECIATION RETIREMENT TRANSFER REVALUATION
To
maintain Depreciation in SAP R/3 system we need to use any one of the methods of Depreciation Area. For every Depreciation Area we we need to specify type of Depreciation Ex : 01 Book Depreciation Depreciation Adopt to No No of Values. Ex : Online (Adapt Value is the Base Amount) Acquisition & Product Cost : APC is maintained maintained for each Depreciation Area Online Updation is done for each Deprec iation area for APC Ex : 01 Book Depreciation Depreciation ± online ± Depreciation Area ± APC APC We can also maintain separately for Tax purpose a separate Depreciation area i.e., 02 Special purpose Depreciation
1
Depreciation Area may be real Depreciation Depreciat ion Area or derived Depreciation Area REAL DEPRECIATION AREA: basis of Co Act or Tax Purpose etc.,)
The
amount of Depreciation calculated (On this
DERIVED DEPRECIATION AREA : It derives derives value from from other Depreciation Area Area The
derived Depreciation area uses mathematical formulas to determine values based on Values in real areas, Such as the difference between Depreciation in two Depreciation Areas For Ex : Difference Difference of Depreciation amount calculated on Plant & Machinery in in 01 Book Depreciation and 02. Special Tax Depreciation The
System then manages these new values in the derived Depreciation Depreciat ion Area
We need to specify to system whether to post Depreciation to General Ledger Accounts in FI Ex : Specify for for 01. Book Depreciation Depreciation to post to General General Ledger Online Online i.e. RealT ime For other Depreciation area there is no need to post to General Ledger as it is maintained only for for Statistical or Information Information purpose. However for for cost Accounting we can maintain 20. Cost Accounting Depreciation Depreciat ion to post Depreciation Periodically. For every Depreciation Area we need to specify posting Rule CHART OF DEPRECIATION : It is a Directory of Depreciation Areas. Depreciation areas we can maintain for Chart of Depreciation.
Upto 99
R/3 System Provides a Standard Chart of o f Depreciation for each Country Specific 1. We need to copy the existing Standard Chart Chart of Depreciation. Depreciation. In this we can create & Delete Depreciation Area 2.We need to maintain Tax Code for Non Taxation Trans. 3. We need to Assign Assign the Chart Chart of Depreciation Depreciation to Company Code Asset Accounting Serves as a Subsidary Ledger to the FI General Ledger, Providing detailed information on Transactions involving Fixed Assets. In Asset Accounting we need to maintain Master Record of Assets Asset Master Records create Line Items while posting Group Assets make it possible to group together a number of o f Assets for calculation and posting of Depreciation Assets ± Main Assets ± Sub Assets Assets ± Line GROUP ASSETS : Ex : 10% Depreciation Assets Items, Line Items post to the main Assets or Su bassets.
2
Depreciation Area may be real Depreciation Depreciat ion Area or derived Depreciation Area REAL DEPRECIATION AREA: basis of Co Act or Tax Purpose etc.,)
The
amount of Depreciation calculated (On this
DERIVED DEPRECIATION AREA : It derives derives value from from other Depreciation Area Area The
derived Depreciation area uses mathematical formulas to determine values based on Values in real areas, Such as the difference between Depreciation in two Depreciation Areas For Ex : Difference Difference of Depreciation amount calculated on Plant & Machinery in in 01 Book Depreciation and 02. Special Tax Depreciation The
System then manages these new values in the derived Depreciation Depreciat ion Area
We need to specify to system whether to post Depreciation to General Ledger Accounts in FI Ex : Specify for for 01. Book Depreciation Depreciation to post to General General Ledger Online Online i.e. RealT ime For other Depreciation area there is no need to post to General Ledger as it is maintained only for for Statistical or Information Information purpose. However for for cost Accounting we can maintain 20. Cost Accounting Depreciation Depreciat ion to post Depreciation Periodically. For every Depreciation Area we need to specify posting Rule CHART OF DEPRECIATION : It is a Directory of Depreciation Areas. Depreciation areas we can maintain for Chart of Depreciation.
Upto 99
R/3 System Provides a Standard Chart of o f Depreciation for each Country Specific 1. We need to copy the existing Standard Chart Chart of Depreciation. Depreciation. In this we can create & Delete Depreciation Area 2.We need to maintain Tax Code for Non Taxation Trans. 3. We need to Assign Assign the Chart Chart of Depreciation Depreciation to Company Code Asset Accounting Serves as a Subsidary Ledger to the FI General Ledger, Providing detailed information on Transactions involving Fixed Assets. In Asset Accounting we need to maintain Master Record of Assets Asset Master Records create Line Items while posting Group Assets make it possible to group together a number of o f Assets for calculation and posting of Depreciation Assets ± Main Assets ± Sub Assets Assets ± Line GROUP ASSETS : Ex : 10% Depreciation Assets Items, Line Items post to the main Assets or Su bassets.
2
ASSET ACCOUNTING ACCOUNTING
GENERALLEDGER ASSET CLASS
ASSET MASTER RECORDD CHAR T OF ACCOUNTS GROUP ASSET SCREEN LAYOUT MAIN ASSET SUB ASSET LINE ITEMS
NUMBER ASSIGNMENT
Plant & Machinery Furniture & Fittings Leased Assets Low Value Assets Asset Under Construction Vehicles
The
following information is to be processed in Asset Master Record. Ex : Acquisition Acquisition & Production Cost Retirement ± Sale of Assets Revaluation Depreciation Posting ± Periodically While updating Process Information in Master Record, the GL in FA has to be updated to we need to link them For that SAP maintains Account Determination Key We need to create Account Determination for each Transaction. The Account Determination key defines the reconciliation accounts in FA that should be posted during Asset Transactions. We need to define a Screen Layout for each master record and maintain number interval All relevant Master Records and maintain number interval All relevant master records can be put in a Group Asset like we have Account Groups in General Ledger Ex : Liabilities Liabilities GROUP ASSET : Group Assets make it it possible to group together a number of Assets Assets for calculation and Posting Depreciation
maintained to structure the Fixed Fixed Assets of the Organisation to ASSET CLASS : It is maintained meet the demands demands of Accounting & to meet Legal Requirements. Requirements. Every Master Record Record is assigned to a Asset Class.
3
Asset Class holds the Values of Account Determination Screen Layout and Number Interval for the Assets and transfer for the information to be updated in General Ledger When we are assigning Number to GL Plant and Mechinery Ex : 200000 maintain same number for Asset Class and account Determination (This is for Easy Identification) COPY REFERENCE CHART OF DEPRECIATION : Spro ± Ref Img ± FA ±AAOrganisational Structure ± Copy Reference Chart of Depreciation/Depreciation Area
Select Copy reference Chart of Depreciation Select Copy Function Format of Depreciation 0DE (Maximum Valuation : Germany) 6023 To Chart of Depreciation Save Select Back Button Select Specify Description of Chart of Depreciat ion Select Position Button Chart of Depreciation 6023 Change the Description Chart of Depreciation Description 6023 Chart of Depreciation to 6023 Save Back to Menu Item ASSIGN TAX CODE TO NONTAXABLE TRANSACTIONS : Spro ± Ref Img ± FA ± FAGS ± Tax on Sales & Puchases ± Posting ± Assign Tax Codes for Non TaxableTransactions TC /NOBCL
Select Position Button Company Code : Continue Co Cd 6023 Save
6023
Company Name
City
Input Tax Code IO (Input Tax Code)
ASSIGN CHART OF DEPRECIATION TO COMPANY CODE : Spro ± Ref Img ± FA ± AA- Organisaitonal Structure ± Assign Chart of Depreciat ion to Company Code
Select Position Button Company Code : Continue Co Cd
6023
Company Name
Chart of Depreciation
Description
4
6023 Save
6023
ASSET CLASS : Spro ± Ref Img ± FA ± AA- Organisaitonal Structure ± Asset Classes ± Specify Account Determination
New Entries Account Determination 200006 201006 202006 203006 204006 205006 Save
Name for Account Determination Plant & Machinery Furniture & Fittings Leased Assets Low Value Assets Asset Under Construction (Direct) Asset Under Construction Investment Profile
Select Back Button
CREATE SCREEN LAYOUT RULES SCREEN NAME OF SCREEN LAYOUT 2000 General Mechines 3000 Low Value Assets 3300 Furniture & Fixtures 4000 Asset Under Construction 6000 Leased Assets
Select copy as Function & Change the last Digit 2006, 3006, 3306, 4006, 6006 Save Back to Menu Item DEFINE NUMBER RANGE INTERVAL Company Code 6023 Select Change Interval Select Insert Interval No 01 02 03 Save
From No To No 100000 199999 200000 299999 300000 399999 Select Back to Menu
DEFINE ASSET CLASSES
5
New Entries
Asset Class 200006 Asset Type Account Determination Screen Layout Rule Number Assignment Number Range
Plant & Machinery 200006 2006
Plant & Machinery General Machines
01
Status of AUC * No AU cor Summary Management of AUC Save Select Next Entry Asset Class 201006 Asset Type Account Determination Screen Layout Rule
Number Assignment Number Range
Furniture & Fittings 201006 3006
Furniture & Fittings
02
Save Select Next Entry Asset Class 202006 Asset Type Account Determination Screen Layout Rule
Number Assignment Number Range
Leased Assets 202006 6006
Leased Assets
03
Save Select Next Entry Asset Class 203006 Asset Type Account Determination Screen Layout Rule
Number Assignment Number Range
Low Value Assets 203006 3306
Low Value Assets
03
Save
6
Select Next Entry Asset Class 204006 Asset Type Account Determination Screen Layout Rule
Asset Under Construction 204006 4006
Number Assignment Number Range
03
Asset Under Construction
* Line Item Settlement
Save Select Next Entry Asset Class 205006 Asset Type Account Determination Profile Screen Layout Rule
Asset Under Construction Investment Profile
Number Assignment Number Range
205006
Asset
Under
Construction
Investment
4006
03
* Line Item Settlement
Status of AUC * Investment Measure Save CREATION OF GENERAL LEDGER ACCOUNTS : /NFS00 GL Account No 200000 Select Create Button Account Group 002 Assets *Balance Sheet Account DESCRIPTION : Short Text GL Account Long Text :
: Plant & Machinery Plant & Machinery
SELECT CONTROL DATA Account Currency INR Reconciliation Account for Account Type
A Assets
ACCOUNT MANAGEMENT IN COMPANY CODE Line Item Display Sort Key 018 Asset Number y y
SELECT CREATE/BANK/INTEREST Field Status Group G007
7
Save GL Account No 200100 Select With Template GL Account No 200000 Company Code 6023 Continue DESCRIPTION : Short Text Machinery GL Account Long Text :
:
Accumulated Depreciation
on
Plant
&
Accumulated Depreciation on Plant & Machinery
Save GL Account No 201100 Select With Template GL Account No 200000 Company Code 6023 Continue DESCRIPTION : Short Text GL Account Long Text : Save
:Accumulated Depreciation on Furniture & Fittings Accumulated Depreciation on Furniture & Fittings
GL Account No 201000 Select With Template GL Account No 200000 Company Code 6023 Continue DESCRIPTION : Short Text GL Account Long Text : Save
: Furniture & Fittings Furniture & Fittings
GL Account No 202000 Select With Template GL Account No 200000 Company Code 6023 Continue DESCRIPTION : Short Text GL Account Long Text : Save GL Account No
: Leased Assets Leased Assets
202100
8
Select With Template GL Account No 200000 Company Code 6023 Continue DESCRIPTION : Short Text GL Account Long Text : Save
: Accumulated Depreciation on Leased Assets Accumulated Depreciation on Leased Assets
DESCRIPTION : Short Text GL Account Long Text : Save
: Leased Assets Leased Assets
GL Account No 203000 Select With Template GL Account No 200000 Company Code 6023 Continue DESCRIPTION : Short Text GL Account Long Text : Save
: Low Value Assets Low Value Assets
GL Account No 204000 Select With Template GL Account No 200000 Company Code 6023 Continue DESCRIPTION : Short Text GL Account Long Text : Save
: Asset Under Construction Asset Under Construction
GL Account No : 350000 Select Create Button Account Group 004 Income *Profit & Loss Account DESCRIPTION : Short Text GL Account Long Text
: :
SELECT CONTROL DATA Account Currency
INR
Sales Revenue Asset Sale Sales Revenue Asset Sale
ACCOUNT MANAGEMENT IN COMPANY CODE Line Item Display y
9
y
Sort Key 018 Asset Number
SELECT CREATE/BANK/INTEREST Field Status Group G007 Save GL Account No 351000 Select With Template GL Account No 350000 Company Code 6023 Continue DESCRIPTION : Short Text GL Account Long Text : Save
: Profit on Sale of Assets Profit on Sale of Assets
GL Account No 431100 Select With Template GL Account No 431000 Company Code 6023 Continue DESCRIPTION : Short Text GL Account Long Text : Save
: Tax Depreciation Tax Depreciation
GL Account No 431200 Select With Template GL Account No 431000 Company Code 6023 Continue DESCRIPTION : Short Text GL Account Long Text : Save
: Loss on Sale of Assets Loss on Sale of Assets
GL Account No 431300 Select With Template GL Account No 431000 Company Code 6023 Continue DESCRIPTION : Short Text GL Account Long Text : Save
: Scrapping of Assets Scrapping of Assets
10
GL Account No : 225000 Select Create Button Account Group 002 Assets * Balan Sheet DESCRIPTION : Short Text GL Account Long Text
ACCOUNT MANAGEMENT IN COMPANY CODE Open Item Management Line Item Display Sort Key 018 Asset Number y y y
SELECT CREATE/BANK/INTEREST Field Status Group G001 Save GL Account No : 125000 Select Create Button Account Group 001 Liabilities * Balan Sheet DESCRIPTION : Short Text GL Account Long Text
: :
SELECT CONTROL DATA Account Currency
INR
Sales Reserve Account Sales Reserve Account
ACCOUNT MANAGEMENT IN COMPANY CODE Open Item Management Line Item Display Sort Key 001 y y y
SELECT CREATE/BANK/INTEREST Field Status Group G001 Save SPECIFY POSTING RULES OF DEPRECIATION : Spro ± Ref Img ± FA ± AA ± Integration with the General Ledger ± Post Depreciation to the General Ledger- Specify Document type for posting of Depreciation ± Define Document type ± R/3 as AF Document type for Depreciation Type
Description
11
AF Depreciation Posting Select AF & Double Click Properties Number Range 04 Select Number Range Information Number Range Information Co Code 6023 Select Change Interval Select External Check Box of 04 If you want to process any Batch Input Session the No Interval must be External Save Back to Menu Item SPECIFY INTERVALS & POSTING RULES Select Position Method Company Code 6023 6023 Reliance Infocom Select Posting Rules Select 01 Depreciation (Book Depreciation)
Double Click Save Back to Menu Item INTEGRATION WITH THE GENERAL LEDGER SPECIFY POSTING KEY FOR ASSET POSTING
If we want to specify any other Dr or Cr we can do t hat Save ASSIGN GENERAL LEDGER ACCOUNTS : Spro ± Ref Img ± FA ± AA ± Integration with the General Ledger ± Assign GL Accounts
Chart of Depreciation 6023 Continue Chart of Accounts Description 6023 Select Chart of Account 6023
12
Select Account Determination Account Determination Name for Account Determination Plant & Mechinery Select Accounts Determination Plant & Mechinery Select Balance Sheet Accounts Acquisition Account Assignment Acquisition : Acquisition & Production Costs 200000 (Plant & Mechinery ) Retirement Account Assignment Loss Made on Asset Ret W/O Revenue 431300 Scrapping Clearing Account Revenue From Asset Sale 350000 Sales Revenue from Asset Sale Gain From Assets Sale 351000 Profit on Sale of Asset Loss From Asset Sale 431200 Loss on Sale of Asset Select Depreciation
Ordinary Depreciation Account Assignment Account Dep. Account for Ordinary Dep
200100
Depreciaiton
on
Plant
&
Machinery
Expences Account for Ordinary Dep 431000 Depreciation Select Special Reserves Account Assignment for Special Reserves Special Reserve Balance 125000 Special Reserves Expense : Allocation to Special Reserve 431100 Tax Depreciation Save Select Account Determination Account Determination Name for Account Determination Furniture & Fittings Select Balance Sheet Accounts Acquisition Account Assignment Acquisition : Acquisition & Production Costs 201000 Retirement Account Assignment Loss Made on Asset Ret W/O Revenue 431300 Scrapping Clearing Account Revenue From Asset Sale 350000 Sales Revenue from Asset Sale Gain From Assets Sale 351000 Profit on Sale of Asset Loss From Asset Sale 431200 Loss on Sale of Asset Select Depreciation
Ordinary Depreciation Account Assignment Account Dep. Account for Ordinary Dep Expences Account for Ordinary Dep
201100 431000
Depreciation 13
Select Special Reserves Account Assignment for Special Reserves Special Reserve Balance 125000 Special Reserves Expense : Allocation to Special Reserve 431100 Tax Depreciation Save
Select Account Determination Account Determination Name for Account Determination Leased Assets Select Balance Sheet Accounts Acquisition Account Assignment Acquisition : Acquisition & Production Costs 202000 Retirement Account Assignment Loss Made on Asset Ret W/O Revenue 431300 Scrapping Clearing Account Revenue From Asset Sale 350000 Sales Revenue from Asset Sale Gain From Assets Sale 351000 Profit on Sale of Asset Loss From Asset Sale 431200 Loss on Sale of Asset Select Depreciation
Ordinary Depreciation Account Assignment Account Dep. Account for Ordinary Dep Expences Account for Ordinary Dep Interest Account Assignment Expense Account for Interest Interest Clearing Posting Save
202100 431000
Depreciation
421000 225000
Interest Paid Interest Clearing
Select Account Determination Account Determination Name for Account Determination Low Value Assets Select Balance Sheet Accounts Acquisition Account Assignment Acquisition : Acquisition & Production Costs 203000(Low Value Assets) (In the Same year complete Depreciation is written off) Select Depreciation
Ordinary Depreciation Account Assignment Account Dep. Account for Ordinary Dep
203000
14
Expences Account for Ordinary Dep Save
431000
Depreciation
Select Account Determination Account Determination Name for Account Determination Asset Under Construction Select Balance Sheet Accounts Acquisition Account Assignment Acquisition : Acquisition & Production Costs 204000 Select Depreciation
Ordinary Depreciation Account Assignment Account Dep. Account for Ordinary Dep Expences Account for Ordinary Dep Save
204000 431000
Depreciation
Select Account Determination Account Determination Name for Account Determination Asset Under Construction INV Select Balance Sheet Accounts Acquisition Account Assignment Acquisition : Acquisition & Production Costs 204000 Select Depreciation
Ordinary Depreciation Account Assignment Account Dep. Account for Ordinary Dep Expences Account for Ordinary Dep Save Back to Menu Item
204000 431000
Depreciation
SPECIFY FINANCIAL STATEMENT VERSION FOR ASSET REPORTS Co Code 6023
Company Name
Select Company Code Assign Financial Statement Version AR Name of Depreciation Area 01 Save
FS Vers FS Version Name INT (Commercial Balance Sheet)
15
Post Depreciation to the General Ledger ± Specify Document type for Posting of Depreciation Already Defined DEPRECIATION AREA Spro ± Ref Img ± FA ± AA ± Valuation ± Depreciation Area ± Define Depreciation Area
Select Define Depreciation Area The Depreciation Area which are not required can be deleted 51, 32, 31, 10 We can Delete them We can create Depreciation Area by copying other Deprec iation Area To check the properties double click on any depreciation area Depreciation Area
01
Book Depreciation
Management of Values Acquisition Value +Only Positive Values or Zero Allowed Net Book Value +Only Positive Values or Zero allowed Select Next Entry & Next Entry Depreciation Area 03 Special Reserves Because of Special Tax Depreciation Real Depreciation Area Posting in GL 2 Post Assets Periodically in GL Management of Values Acquisition Value +Only Positive Values or Zero Allo Net Book Value -Only negative Values or Zero Allo Save Back to Menu Item SPECIFY TRANSFER OF APC VALUES : AR Name of Depreciation Area 02 01 Deselect Identical Button AR Name of Depreciation Area 01 02 15 20 30 41 Select Back Button
Val Ad 01
Ident
Val Ad 00 01 01 01 01
SPECIFY TRANSFER OF DEPRECIATION TERMS AR IDENTICAL TTR 01 00
16
02 15 20 30 41 Select Back Button Select Specify Area T ype From Define Depreciation Area
02
*
01 01
*
DETERMINE DEPRECIATION AREAS IN THE ASSET CLASSES Asset Class Plant & Machinery Select Depreciation Area AR Depretiation Area DeAct Use Layout 01 10 2000 02 10 2000 03 15 * 2000 20 * 2000 30 * 2000 41 * 2000 (Enter the Layout to get use Column Activated) Save
Select Asset Class Asset Class Select Depreciation Area AR Depretiation Area 01 02 03 15 20 30 41 Save
Asset Class Description Furniture & Fittings DeAct
Use 5 5
* * * *
Layout 2000 2000 2000 2000 2000 2000
Select Asset Class Asset Class Select Depreciation Area AR Depretiation Area 01 02
Asset Class Description Leased Assets DeAct
Use 10
Layout 2000 2000
17
03 15 20 30 41 Save
* * * *
2000 2000 2000 2000
Select Asset Class Asset Class Select Depreciation Area AR Depretiation Area 01 02 03 15 20 30 41 Save
Asset Class Description Low Value Assets DeAct
Use 1
* * * * * *
Layout 2000 2000 2000 2000 2000 2000
Select Asset Class Asset Class Select Depreciation Area AR Depretiation Area 01 02 03 15 20 30 41 Save
Asset Class Description Asset Under Construction DeAct
Use 1
* * * * * *
Layout 2000 2000 2000 2000 2000 2000
Select Asset Class Asset Class Select Depreciation Area AR Depretiation Area 01 02 03 15 20 30
Asset Class Description Asset Under Construction Inv Profile DeAct * * * * *
Use 1
Layout 2000 2000 2000 2000 2000
18
41 Save Back to Menu Menu Item Item
*
2000
Amount Specifications (COC/DA) - Specify Maximum Amount for for Low Value Asset Asset Class Select Specify Lowvalue Asset Class Asset Low Value Asset Select Low Value Asset Class Select Low Value Asset Check AR LVA 01 1 (Value Based Maximum Amount Check) 02 03 15 20 30 41 Save Back to Menu Menu Item Item
1 1 1 1 1 1
SPECIFY AMOUNT FOR LOW VALUE ASSETS CO CO NAME 6023 Select Amount for Low Value Assets AR LVA Amount Max LVA Pur 01 5000 5000 02 5000 5000 15 5000 5000 20 5000 5000 30 5000 5000 41 5000 5000
Save Back to Menu Menu Item Item GROUP ASSETS ± SPECIFY DEPRECIATION AREA FOR GROUP ASSETS
Co Code 6023 Select Group Assets AR 01
Name of Depreciation Area
Group Asset
19
02 Save
* Back to Menu Item
SPECIFY ASSETCLASS FOR GROUP ASSETS Class Plant & Machinery Furniture & Fittings Save
* Deselect * Deselect
If we want to calculate Interest along with Depreciation. For Leased Assets Interest is also to be calculated SPECIAL VALUATION INTEREST DETERMINE DEPRECIATION AREAS AR NAME OF DEPRECIATION AREA 01 Book Depreciation Select Book Depreciation * -20 Cost Accounting Depreciation * Save DEPRECIATION : There are two type of Depreciation a) Planned Depreciation b) Unplanned Depreciation
It can be Ordinary Depreciation or Special PLANNED DEPRECIATION : Depreciation. While Characterising these Depreciations ± We need to consider the following 1. 2. 3. 4. 5. 6. 7.
T ype
of Depreciation Minimum & Maximum Percentage Check Maximum Amount Check Base Value for Calculation of Depreciation Rate of Depreciation Useful Line Period Control
The
System manages the above by defining the Following Methods : 1. Base Method 2. Declining Balance Method 3. Maximum Amount Method 4. Multilevel Method 5. Period Control Method
These
methods are to be defined & referred in a key i.e a Depreciation Key
DEFINITION OF DEPRECIATION CALCULATION METHOD
20
BASE METHOD : Spro ± Ref Img ± FA ± AA ± Depreciation ± Valuation Methods ± Depreciation Key ± Calculation Methods ± Define Base Method
Base Method 14 Select 0014 Double Click
Text
Ordinary Explicit Percentage (After End of Life)
Save Back Button For Calculation of Interest on Leased Assets -0028 Select 0028 Double Click Save Back to Menu Item DEFINE DECLINING BALANCE METHOD (Only this method depends on Chart of Depreciation) Chart of Depreciation 6023 Continue Multiapplication rate, minimum maximum procedure & Depreciation factors in considered in this Decl Balance Description 001 Use 001 Decline Balance Method Save Back to Menu Item DEFINE MAXIMUM AMOUNT METHOD : We can set the maximum amount to which the Depreciation is to be calculated & above it to be nil
New Entries Maximum Amount Method Maximum Amount Description of the Method Z67 6023 Maximum Amount It can be checked manually or accumulated Depreciation. manually select the Annual Check Box Select Z67 Select Maximum Amount
To
check maximum amount
New Entries Maximum Amounts Valid To Currency Maximum Amount 31.03.9999 INR 100000 If we do it manually by selecting check box the maximum amount has to be given annually Save Back to Menu Item
21
DEFINE MULTI LEVEL METHOD : New Entries Multilevel Method 601 0% Depreciation Validity Start 2 From Ordinary Depreciation Start Date Select Levels New Entries
Acq Year Year Base Value Per Remlife 2000 10 01 9999 999 01(Acquisition Value) To apply Depreciation using remining usefull Life of the Asset S elect the check box Acquisition Value/Remaining Life
if not
Acquisition Value / Total Life
Reduction can be used if we want to reduce the base value by percentage entered Save Next Entry Select Multilevel Method Multilevel Method 602 100% Depreciation Validity Start 2 From Ordinary Depreciation Start Date Select Levels New Entries Acq Year 9999 Save
Year 999
Base Value Per 01
Per 100
Next Entry Select Multilevel Method Multilevel Method 603 5% Depreciation Validity Start 2 From Ordinary Depreciation Start Date Select Levels New Entries Acq Year 9999 Save
Year 999
Base Value Per 01
Per 5
Next Entry Select Multilevel Method Multilevel Method 604 100% Written Down Value Validity Start 2 From Ordinary Depreciation Start Date Select Levels New Entries
22
Acq Year 9999 Save
Year 999
Base Value Per 24
Per 10
MAINTAIN PERIOD CONTROL METHOD : For purchase made in a method we st can specify whether Depreciation has to be calculated same method or from 1 of next method
New Entries Per Method Description 623 Period Control Save Back to Menu Item
Acq 01
Add 06
Ret 06
06
MAINTAIN DEPRECIATION KEYS : New Entries Depreciation Key 6000 0% Depreciation Period Control According to Fiscal Year * * Depreciation to the day Select Assignment of Calculation Mehod New Entries Depreciation T ype N Ordinary Depreciation Phase 1 From the Start of Depreciation Assignment of Caliculation Methods Base Method 0014 Ordinary : Explicit percentage (After end of Life) Decl ± Bal Method 001 Prd Cont 623 Period Control Multilevel Method 601 0% Depreciation Class 1 Straight Line Depreciation Save
Select Depreciation Key Select Next Entry Depreciation Key 6001 100% Depreciation Select Assignment of Calculation Methods Period Control According to Fiscal Year * Depreciation to the Day * New Entries Depreciation T ype N Ordinary Depreciation Phase 1 From the Start of Depreciation Assignment of Caliculation Methods Base Method 0014 Ordinary : Explicit percentage (After end of Life) Decl ± Bal Method 001 Prd Cont 623 Period Control Multilevel Method 601 100% Depreciation
23
Class Save
1 Straight Line Depreciation
Select Depreciation Key Select Next Entry Depreciation Key 6005 5% Depreciation Period Control According to Fiscal Year * Depreciation to the Day * Select Assignment of Calculation Methods New Entries Depreciation T ype N Ordinary Depreciation Phase 1 From the Start of Depreciation Assignment of Caliculation Methods Base Method 0014 Ordinary : Explicit percentage (After end of Life) Decl ± Bal Method 001 Prd Cont 623 Period Control Multilevel Method 603 5% Depreciation Class 1 Straight Line Depreciation Save
Select Depreciation Key Select Next Entry Depreciation Key 6010 10% WDV Period Control According to Fiscal Year * Depreciation to the Day * Select Assignment of Calculation Methods New Entries Depreciation T ype N Ordinary Depreciation Phase 1 From the Start of Depreciation Assignment of Caliculation Methods Base Method 0014 Ordinary : Explicit percentage (After end of Life) Decl ± Bal Method 001 Prd Cont 623 Period Control Multilevel Method 604 Class 2 Declining Balance Depreciation Save
Select Depreciation Key Select Next Entry Depreciation Key 60la Leased Assets 6023 Period Control According to Fiscal Year * Depreciation to the Day * Select Assignment of Calculation Methods
24
New Entries Depreciation T ype N Ordinary Depreciation Phase 1 From the Start of Depreciation Assignment of Caliculation Methods Base Method 0014 Ordinary : Explicit percentage (After end of Life) Decl ± Bal Method 001 Prd Cont 623 Period Control Multilevel Method 603 Class 1 Straight Line Depreciation Save
Select Next Entry Depreciation T ype Z Interest Phase 1 From the Start of Depreciation Assignment of Caliculation Methods Base Method 0028 Interest Leasing Decl ± Bal Method Prd Cont 623 Period Control Multilevel Method 601 0% Depreciation Class 0 No Assignment Save Back Button Select Back Button Depreciation Key 6000 6001 6005 6010 60LA Select Depreciation Key Select Activate Save Back Button ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------CREATE ASSET MASTER RECORDS : Accounting ± FA ± Fixed Assets ± Asset ± Create ± AS01 Asset (TC is AS11 Sub Assets) Asset Class : 2000006 (Plant & Mechinery) (If options are same for all machinery we ca n mention Number of Similar Assets) Company Code Number of Similar Assets Enter
6023 4
25
General Description Plant & Machinery Posting Information Capitalised on 01.04.2006 Select Time Dependent Intervel from 01.01.1900 to 31.12.99 Bussiness Area 0001 Cost Center 1200 Select Depreciation Area A 01 02
Depreciation Area
Depreciation Key 6005 6010
US 10 10
O Depreciation Start 01.04.2006 01.04.2006
Save
Select Create Asset Class Company Code Number of Similar Assets Enter General Data Description Capitalised on Select Time Dependent Interval from 01.01.1900 Bussiness Area 0001
Cost Center 1300 Select Depreciation Area A Depreciation 01 60LA Select Leasing Leasing Leasing Company Agreement No Agreement Date Lease Start Date Type
Key
2020006 6023 1
Leased Asset
Leased Asset 01.04.2006 to
31.12.9999
Use Life 10
O Dep Start 01.04.2006
3840001 (Vendor for Loans) 12345 02.04.2006 Notice Date : 02.04.2006 Lease Length : L1 Capitalise Lease
31.03.2007 2 /
For Capitalisation - We caliculated Depreciation Periodically Operational - We do not Caliculate the Depreciation Base Value as New Purchase Price
60000 15000
26
No of Lease Payment Payment Cycle Lease Payment Annual Interest Rate Enter Present Value Save
24 1 2000 9 43778
Select Back Button
SELECT DISPLAY AS03 Asset Asset 300000 Leased Asset Sub Number 0 Company Code 6023 Enter Select Leasing Select Opening Posting Opening Posting DISPLAY DOCUMENT
Document No Company Code Fiscal Year Enter
/NFB03
100042 6023 2006
CREATE AS01 Asset Class Company Code Number of Similar Asset Enter General Data Description Posting Information Capitalised on Select Time Dependent Interval from 01.01.1900 Bussiness Area Cost Center
2030006 6023 1
Low Value
Low Value Asset 01.04.2006 to 0001 2100
31.12.9999
Select Depreciation Areas Dep Ky 6001
Usl Life 1
0 Depreciaiton Start 01.04.2006
Save IN HOUSE PRODUCTION
ASSET UNDER CONSTRUCTION
27
ACQUISITION OF ASSET FROM VENDORS : Only for Acquisition of Asset purpose system uses Transaction types ± It has to be refered while entering information
Accounting ± FA ± Fixed Assets ± Posting ± Acquisition ± External Acquisition ± F-90 With Vendor Document Date Posting Date
05.04.2006 05.04.2006
First Line Item PK 31 Account Enter Item1/Invoice/31 Amount
6023 INR
3030001 Vendor Account
500000
Next Line Item PK 70 Account 100000 (Asset Transfer Type) Enter Item 2 Debit Asset Amount * Simulate 3030001 200000 Post
Company Code Currency
Transaction T ype
Vendors for Goods for Supply 100000
100 (External Asset Acquisition)
500000 500000
SELECT POST WITH REFERENCE Flow Control * Do not Propose Amount
First Line Item PK 31 Account 3030001 Enter Item1/Invoice 31 Amount 200000 Next Line Item PK 70 Account 100001 Enter Item2/Debit Asset Amount * Simulate 3030001 Vendor for Goods Supply 2000000 100001
Transaction T ype
100
200000 200000
28
SELECT POST WITH REFERENCE Flow Control * Do not Propose Amount First Line Item PK 31 Account 3030001 Enter
Item1/Invoice 31 Amount 250000 Next Line Item PK 70 Account Enter Item2/Debit Asset Amount * Simulate PK 31 303001 70 200000
100002
Transaction T ype
Vendor for Goods Supply 100002
100
250000 250000
SELECT POST WITH REFERENCE Flow Control * Do not Propose Amount
First Line Item PK 31 Account Enter
303001
Item1/Invoice31 Account 100000 Next Line Item PK 70 Enter Item 2 / Debit Asset Amount * Simulate 31 3030001 70 200000 Post Document Date Posting Date
Account
100000
Transaction T ype
Vendor for Goods Supply 100003
10.04.2006 10.04.2006
First Line Item PK 70 Account
3000000-00
100
100000-00 100000-00
Company Code Currency
6023 INR
Transaction T ype
100
29
Enter Item 1 / Invoice Debit Asset Amount 5000 Next Line Item PK 50 Account Enter
210000
Item2 / Credit Entry Amount * Value Date 10.04.2006 Enter Simulate PK 70 50 Post
--CHANGE COST ELEMENT /NKA02 Controlling Area 6023 Continue Cost Element 421000 Enter Basic/Default Account Assignment Cost Center 2100 Save Cost Element 431000 Enter Select Default Account Assignment Cost Center 6700 (Create Depreciation Cost Center & Assign) Save /NAFAB :ASSIGN SELECT EXECUTE Deselect Test Run Select Menu Item Program ± Execute in background Background Print Parameters Output Device LP01 Number of Copies 1 Continue Select Immediate Post /N FS10N (To Check Depreciation Posting) GL Account 431000 Company Code 6023 Fiscal Year 2006
Select Execute Period Debit Balance Car 1 4908.44 ACQUISITION OF ASSET THROUGH PURCHASE ORDER CREATE PURCHASE ORDER Vendor 3830001 Purchasing Organisation 6023 Purchasing Group 000 Company Code 6023
31
S
Item
A A (Asset)
Short Text Mechinery 1
PO Qty 2
OUN Net PC 15200-00
Press Enter /NOBC4 CHANGE FIELD STATUS VARIANT
G007 Asset Account (W/O Account Depreciation) Select G007 Double Click Additional Account Assignment Double Click Additional Account Assignment Optional Fund * Fund Center * Ear Marked Funds * Function Area * Special Region * Save Asset 100002 Enter Save GOODS RECEIPT : /N MIGO (Againest Purchase Order)
A01 Goods Receipt R01 Ord
4500015980 Delivery Note 1500
Press Enter Quantity Quantity in Unit of Entry 2 Quantity in Delivery Note 2 Quantity Ordered 2 Select Item OK Button Select Check System Displays Document is OK Post CHANGE MATERIAL DOCUMENT Material Document Material Document Year Select Over View Button Select Accounting Document Object Type Text Accounting Document
INVOICE VERIFICATION Company Code Continue Invoice Date 14.06.2006 Posting Date 14.06.2006
30400 30400 /NMIRO
6023
PO Reference PO 45000155980 Enter Amount 30400 Base Line Date 14.06.2006 Simulate K Vendor 30400 S GR/IR Clearing 30400 Post /NFS00 GL ACCOUNT NO Select Change Button Select Control Data Tax Category Save
200000 Plant & Machenery
Only Input tax allowed
SALE OF AN ASSET WITH REVENUE : Accounting ± FA ± Fixed Assets ± Posting ± Retirement ± Retirement with Revenue ±F -92 With Customer
Document Date : 20.05.2006 Posting Date 20.05.2006 First Line item PK 01 Enter Itm 1 Amount
Account
Co Code Currency
702000
6023 INR
Customer Account
205000
Next Line Item PK 50 Account
350000
Transaction T ype
210 (Retirement with Revenue)
Enter
33
Item2 Amount
* Asset Retirement
*
Enter
Asset 1000001 Sub Number 0 Posting Entries 210 Transaction T ype Asset Value Date 20.05.2006 * Complete retirement Amount Posted Select Continue Simulate Customer A/c To Sale of Asset
DR
Accumulated Depreciation A/C To Asset A/c Sale of Asset A/c To Asset A/c
205000 205000 DR
1342.47 1342.47
DR
205000 205000
Asset A/c DR To Profit on Sale A/c
6342.47 6342.47
ASSET A/C To Purchase By Accumulation Depreciation By Sale To Profit on Sale A/c
CAPITALISATION OF ASSET UNDER CONSTRUCTION : DEFINE AND ASSIGN SETTLEMENT PROFILE : Spro ± Ref Img ± FA ± Asset Accounting ± Transactions ± Capitalisation of Asset Under Construction ± Define & Assign Settlement Profile
Define Settlement Profile Settle
Text
34
AI Select AI Double Click
Settlement Assets Under Construction
Valid Receiver Fixed Asset 2 Settlement Req Save
Select Back Button
ASSIGN SETTLEMENT PROFILE TO COMPANY CODE Select Position Button Company Code 6023 Continue
Co Code Company Name 6023 Save Select Back to Menu item
S. Prof AI
Text
MAINTAIN NUMBER RANGES FOR DOCUMENTS FOR LINE ITEM SETTLEMENT Select Maintain Number Ranges for Controlling Documents
Controlling Area 6023 Select Group Button KOAO Actual Settlement Save
(Already Mentioned in Co
MAINTAIN ASSET CLASS FOR ASSET UNDER CONSTRUCTION IN WHICH MAINTAIN LINE ITEM SETTLEMENT CHECK BOX CREATE ASSET MASTER RECORD UNDER ASSET CLASS ± ASSET UNDER CONSTRUCTION
/NAS01 Asset Class Company Code Number of Similar Assets Enter
2040006 6023 1
General Data Description Asset Under Construction Capitalised on 01.04.2006 Select Time Dependent
3333
Interval from 01-01-1900 to 31-12-9999 Bussiness Area 0001 Cost Center 1200 Select Depreciation Area
35
D. Key 6000
Useful 1
Save POST ACQUISITION AMOUNTS
Document Date Posting Date
/NF-90
14.06.2006 14.06.2006
Company Code Currency
First Line Item PK 31 Account
3830001
Item 1/Invoice/31 Amount
100000
Next Line Item PK 70 Item 2 Debit Asset Amount * Simulate 31 3830001 70 Post
Account
300002-00
Vendor for Goods Supply 300002
POSET EXPENSES : /NF-02 Document Date 14.06.2006 Posting Date 14.06.2006
First Line Item PK 70 Account Enter Item1 Debit Asset Amount 10000
Next Line Item PK 50 Enter
Account
Item2/Credit Entry Amount Value Date Simulate
* 14.06.2006
Transaction T ype
100
100000-00 100000-00
Company Code Currency
300002.0
6023 INR
6023 INR
Transaction Type
110
210000
36
PK 70 50 Post
300003 100000 Cash in Hand 100000
Capitalised Done at end of Month CAPITALISATION : Accounting ± FA ± Fixed Assets ± Posting Capitalise Asset Under Construction ± AIAB Distribute Company Code Asset Sub Number Enter Select Execute
6023 300002 0
Amount 100000-00 10000-00 Select Line Item Select Enter Distribution Rules Distribution Cat Sett Receiver FXA 100003-00 Enter Select Back Button
Rec Short Text Plant & Machinery
Amount 10000-00
Select Next Line Item Select Enter Distribution Rules Distribution Cat Settlement Rec FXA 10 Enter
Rec Short Text Plant & Machinery
Select Back Button Save Select Settlement Company Code Asset Sub Number Document Date Asset Value Date Posting Date Period
6023 300002 0 30.06.2006 01.07.2006 30.06.2006 3
37
Processing Options Deselect Test Select Execute BUDGET MONITORING AND STATISTICAL ORDER/WBS ELEMENT CREATE STATISTICAL COST ELEMENT : Spro ± Ref Img ± FA ± AA ± Transaction ± Budget Monitoring with Statistical Order ± Create Statistical Cost Element CREATE COST ELEMENT FOR PROJECT/ORDER ACCOUNT ASSIGNMENT Controlling Area 6023 Valid From 01.01.2000 Valid To 31.12.2400
Parameter of Run Deselect Test Run Select Execute Select Back Button CHANGE THE FIELD STATUS OF THE ASSET GL ACCOUNT : Define Field Status Variant 6023 Select FSV 6023 Select Field Status Group Field Status Group G007 Double Click Select Group Additional Account Assignments Double Click
Additional Account Assignment CO/PP Order Save
Optional *
CREATE INTERNAL ORDER /NK001 Order Type 63CO Enter Short Text Internal Order for Budget Accounting Assignment Company Code 6023 Bussiness Area 0001 Object Class O Cost Overhead Save
38
SET UP BUDGET Budget ± KO22 Chage
Accounting ± Co ± Internal Order ± Budgeting ± Original
Order 97005 Select Original Budget Annual Values Order Budget 97005IO 500000 Save Select Back Button POST TRANSACTIONS TO ASSET MASTER RECORD : /NF-90 OR /NF-02
Document Date Posting Date
15.06.2006 15.06.2006
First Line Item PK 31 Enter
Account
Company Code Currency
6023 INR
3830001
Item1/Invoice Amount 250000 Next Line Item PK 70
Account
300002-0
Transaction Type
100
Enter Item2 Debit Asset Amount * Order 97005 Simulate PK 31 Vendor for Goods Supply 70 100003-0 Post
Amount 250000-00 250000-00
Back to Menu Item
CHECK BUDGET AVAILABILITY : Accounting ± Co ± IO ± Information System ± Report for Internal Order ± More Reports ± List Budget/Actual/Commitments
Selection Values Controlling Area Select Execute Orders
6023 Actual
39
Internal Order for Assed
250000
CAPITAL WORK IN PROGRESS ± INVESTMENT PROFILE : CREATE INTERNAL ORDER TYPE: Order Master Data ± Define Order Types
Spro ± Ref Img ± Co ± Internal Orders ±
New Entries Order Category Continue Order Type
CPIP
General Parameters Settlement Prof Planning Profile Budget Profile Object Class
A1 Settlement Asset Under Construction 000001 General Budget/Plan Profile 00001 General Budget Profile INVST Investment
01 Capital WIP ± Investment Profile
Status Management * Release Immediately Save Number Range Interval Not Assigned Select Change Interval Not Assigned CPIP Select the Internal Order * 6023 Internal Order Number Range Press F5 Save DEFINE INVESTMENT PROFILE : Spro ± Ref Img ± Investment Management ± Internal Order as Invesment Measures ± Master Data ± Define Investment Profile
Define Investment Profile New Entries Investment Profile 6023 Investment Profile for 6023 Settlement * Line Item Settlement and List of Origins Investment Measure Asset Class 205006 Save Back to Menu Item SELECT SETTLEMENT ± MAINTAIN SETTLEMENT COST ELEMENTS Create Primary Settlement Cost Element Cost Element 204000 Valid From 01.01.2000 to 31.12.2400 Select Environment ± Create General Ledger Account Chart of Accounts
40
GL Account No 460000 Select Create Button Account Group 0004 Expences * Profit & Loss Account Description Short Text Asset Under Construction GL Long Text Asset Under Construction Save Select Back Button Again select Environment ± Create GL Account ± In Company Code GL Account No 460000 Select Change Create Button Account Management in Company Code Line Item Display Sort Key 001 Select Create/Bank/Interest Field Status Group G001 Save Select Back Button Cost Element 460000 Select Master Data Basic Data Cost Element Category 22 External Settlement Save y y
MAINTAIN ALLOCATION STRUCTURE : Spro ± Ref Img ± Investment Management ± Internal Orders as Investment Measures ± Settlement ± Maintain Allocation Structure Allocation Atucture Text A1 CO Allocation Structure Select Assignments Assign Text 25 Settlement Select Source From Cost Element 460000 Select Settlement Cost Element
New Entry Receiver Category FXA Save
Settlement Cost Element 460000
CREATE INTERNAL ORDERS /NKO01
41
Order Type Enter Short Text
CPIP Capital WIP Investment Order
Assignments Company Code 6023 Bussiness Area 0001 Object Class INVST Investement Select Investments Investment Management Investment Profile 6023 Enter Select Yes Button Enter General Data Description Capital WIP : Investment Order Asset Under Construction : Investment Order Select Time Dependent Select Depreciation Area Dep Key O Dep Start 6000 01.04.2006 Save Select Back Button SELECT SETTLEMENT RULE Default Distribution Rule Category Settlement FXA 100003-0 Select Back Button Save
% 100
POST INFORMATION TO INTERNAL ORDER Document Date 15.06.2006 Co Code Posting Date 15.06.2006 Currency
First Line Item PK 40 Account Enter
6023 INR
460000
Item1/Debit Entry Amount 50000 Next Line Item PK 50
/NF-02
Order :
Account
CPIP
210000
Item 2 / Credit Entry Amount *
42
Value Date Simulate
:
15.06.2066
460000 210000 Dr Post
50000
Asset Under Construction Cash in Hand Cr 50000
50000 50000
SETTLEMENT OF INTERNAL ORDER : Accounting ± CO ± Internal Orders ± Period End Closing ± Single Functions ± Settlement ± KOB5 Investment Order Line Items
Order 97005 Select Execute Status Cost Element CO 460000 Select Line Item Select Final Settlement Distribution Rule Group 1 Category Select Receiver FXA 100003-0 Select Back Button Save Select Back Button
Rem Val Cnt Cur 50000
% 100
INDIVIDUAL PROCESSING KO88 Order 97006 Parameter Settlement Period 3 Fiscal Year 2006 Processing Type 1 Automatic Processing Options Deselect Test Run Select Execute Processing Category Settlement Executed 1 Error 0
DISPLAY ASSET EXPLORER AWOIN : Accounting ± FA ± Fixed Assets ± Asset ± AWOIN ± Asset Explorer
Asset 100000 For Every Asset Class we can know Planned Values & Posted Values Enter
43
TRANSFER OF AN ASSET : Accounting ± FA ± Fixed Assets ± Posting ± Transfer ± ABUMN Transfer within Company Code
Company Code 6023 Continue Asset 100003 Document Date 16.06.2006 Posting Date 16.06.2006 Asset Value Date 16.06.2006 Transfer To O Existing Asset 100002 0 Select Partial Transfer Amount Posted 100000 Releated to * From Current Year Acquisition We can check the Same Posting in the Line Item Save Accounting ± FA ± Fixed Assets ± DISPLAY ASSET HISTORY SHEET : Information System ± Reports on Asset Accounting ± Notes to Financial Statements ± International Asset History Sheet Company Code 6023 Setting Report Date 31.03.2007 Depreciation Area 01 Sort Version 0001 Select Execute For Indian Scenario /NJLILN Indian Localisation Method Asset Accounting ± J1IQ ± Year ± End Income Tax Depreciation Report Company Code 6023 Settings Report Date 31.03.2007 Depreciation Area 02 In Asset Master Record Depreciation Area ± Double Click & there we need to specify Group Asset for this Define the same in the Asset Master Record GROUP ASSETS : AS21 Create One Group Asset Class Create Group Asset Master Record Specify Asset Class for Group Assets & Also Depreciation Area Change Screen Layout of Depreciation Area i.e., 2000 Specify Group Asset field as optional
44
Refer Group Asset in the Depreciation Area of Asset Master Record PREPARATION OF FINANCIAL STATEMENT VERSION : Spro ± Ref Img ± FA ± GL Accounting ± Bussiness Transations ± Closing ± Documenting ± Define Financial Statement Versions New Entries Final Statement Version 6023 Name Financial Statements General Specifications Maiantain Language EN Chart of Accounts 6023 Save
Select Financial Statement Items 6023 Financial Statements Assets Liabilities Net Result : Net Result : Profit + Loss Not Assigned Enter the Text 6023 Financial Statements No Text Exists No Text Exists Double Click
Profit Loss Income & Expenditure Notes to Accounts
To
Asset
Item Assets Lly¶ for all other Items Liabilities Profit for the Year Loss for the Year Profit & Loss Carried Notes to Accounts
CRATION OF ITEMS UNDER A GROUP
6023 Financial Keep the cursor on the Group under which we want to Create item Select Create Items
45
Financial Statements Balance Sheet Income & Expences Statement Enter MOVING ITEMS BETWEEN GROUPS : Ex : From Profit for the Year to Balance Sheet
Asset Select the item which we want to move Using F9 Balance Sheet Keep the Cursor on the Group to which we want to move Use shift +F6 to Reassign From Nodes To Nodes Assets Balance Sheet Reassign Node * Subordinate Continue 6023 FINANCIAL STATEMENT
Balance Sheet Assets Liabilities Similarlly we can move Liabilities Keep the cursor on the Group under which we want to Create Item Select Create Item
Balance Sheet Liabilities Share Capital Reserves & Surplus Loans Current Liabilities & Provision Contingent Liability Reserves & Surplus Keep the Cursor on the Group Under Which we want to Create Item Select Create Item Liabilities Reserves and Surplus General Reserve Special Reserve Previous (Provisions) Year Profits
46
Current Year Profits Move the items Profit for the year & Loss for the year to the Group Current Year Profit (Current Year) Profit for the Year Select the item which we want to move Using F9 Current Year Profit Keep the Cursor on the Group which we want to move Shift + F6 Similarlly for Loss for the Year Current Year Profit Loss for the Year Profit for the Year ASSIGNING ACCOUNT : (Only to Lower Level Items / Group) Current Liabilities and Provision Select Create Items Liabilities Current Liabilities & Provision Sundry Creditors Advances from Customer To
Assign Accounts Keep the Cursors on the Group Share Capital Select Assign Accounts From Account 100000
Dr *
Cr *
Dr *
Cr *
Dr *
Cr *
To
Dr * *
Continue Previous Year Profit Select Assign Accounts From Account 101000 Continue Special Reserve Select Assign Account From Account 125000 Continue Sundry Creditors Select Assign Account From Account 122000 150000 Continue
Account 122000 150000
Cr * *
47
Assets Select Create Items Balance Sheet Assets Fixed Assets Investements Current Assets Loans & Advances Fixed Assets Select Create Items Fixed Asset Net Block Net Block (Gross Block Account Depreciation) Select Create Items Net Block Gross Block Accumulate Depreciation Gross Block Select Assign Accounts From Account Dr 200000 * 201000 * 202000 * 203000 * 204000 * Accumulated Depreciation Select Assign Accounts From Account 200100 201100 202100
Dr * * *
Cr * * * * *
Cr * * *
Continue
Create Assets Select Create Items Balance Sheet Assets Current Assets Cash and Bank Balances
48
Stocks Sundry Debtor Advance from Creditors Continue Dr Balance from Vendor ± Advance from Creditors Cr Balance from Customer ± Advance from Debtos Dr/Cr Shift to move the Dr Balance of Liabilities & Cr Balance of Assets Advance from Creditors Select the Group which you want to link & Select F9 Sundry Creditor Keep the cursor on the Group for which we want to (Link) transfer Value & Select Ctrl + F1 Debit Item Credit Item * Advance from Creditors Sundry Creditors 18 Sundrys 30 Advance from Creditor Continue Similarlly for Advance from Debtors Sundry Debtors Select Assign Accounts From Account To Account 250000 250000 Continue Advance from Customer Select the Group which you want to Link & Select F9 Sundry Debtor Keep the Cursor on the Group for which we want to transfer Value & Ct l F1 Debit Item *Advance from Customer 29 Sundry Debtors Continue
Credit Item Sundry Debtor 19 Advance from Customers
INCOME & EXPENCES Select Create Item 6023 Financial Statement Income & Expense Statement Income Expenditure Continue Income Select Assign Accounts
49
Continue Expenditure Select Assign Accounts
From Account 300000
To
Account 399999
Dr *
Cr *
From Account 400000
To
Dr *
Cr *
Account 499999
Continue Move Profit and Loss C/d to the Income and Expenditure Profit & Loss C/d Select the Item which we want to move Using F9 Income and Expenditure Keep the Cursor on the Group to which we want to move Shift + F6 To check Unassigned Accounts Select Check Button From Company Code 6023 Continue Cash and Bank Balance Select Assign Accounts From Account Dr Cr To Account 210000 299999 * * Continue Stocks Select Assign Accounts From Account Dr Cr To Account 220000 229999 * * Note : The Tax Payable accounts ± Excise Payable VAT Payable are taken under Notes to Accounts which need be a ssigned Save Accounting ± FA ± GL ± EXECUTION OF FINANCIAL STATEMENT : Information System ± GL Reports ± Balance Sheet or Profit & Loss Account Statement ± General ± Actual/Actual Comparision - Actual/Actual Comparision for year GL Account Selection Company Code 6023 Report Selection FIS Annual Rep Structure 6023 Fiscal Year 2006 Select Execute We can also show this graphically ± Select Graphics NEW YEAR OPENING OPEN AND CLOSE POSTING PERIODS : /NOB52 Variant From P Year To Period 6023 12 2006 1 Save
Year 2007
50
Copy Number Interval /NOBH2 Spro ± Ref Img ± FA ± FAGS ± Document ± Document Number Ranges ± Copy to Fiscal Year Company 6023 Number Range 00 to zz Fiscal Year 2006 Target Fiscal Year To Fiscal Year Select Execute Select Yes
Ledger 0 Company code 6023 Carry Forward to Fiscal Year 2007 Processing Options Deselect Test Run Select Execute System Display Balance Carry forward Successfully Completed To View Select CARRY FORWARDS AR & AP : Accounting ± FA ± AR ± Periodic Processing ± Closing ± Carry Forward ± F.7 Balance Carry Forward
Company Code
6023
Year
2007
Customer Selection * Sundry Customers Vendor Selection * Select Vendors Processing Parameters Deselect Test Run Select Execute CARRY FORWARDS FIXED ASSETS BALANCES : Accounting ± FA ± Periodic Processing ± Year Ending Closing ± AJAB Execute
51
Note : Make Sure that Depreciation Postings for all the periods is Carried out Company Code 6023 Fiscal Year 2006 Options Select TEST RUN Select Execute ACCOUNT ASSIGNMENT : (Open of Balan Sheet when First time Accounts are posted in SAP) Accounting ± Financial Accounting ± General Ledger ± Document Entry ± Reference Document ± Account Assignment Model 6023 Select Create 6023 INR 6023 Opening Balances Carry Forward Select Line Items Button Co Code PK Amount 6023 40 210000 10000 6023 50 100000 10000 (Similarlly enter Balances of all Assets & Liabilities or Debits & Credits)
Save POSTING OF ENTRY USING ACCOUNT ASSIGNMENT MODEL : /NF-02
Document Date 01.04.2006 Posting Date :01.04.2007 Select Account Assignment (F7) Account Assignment Model 6023 Continue Co CD Pst Key GL 6023 40 210000 6023 50 100000 Simulate
Company Code : 6023 Currency : INR
Cash A/c Dr To Share Capital The
Asset Transfer records becomes reconciliation Account then transfer non Reconciliation Account for posting SET RECONCILIATION ACCOUNTS : Spro ± Ref Img ± FA ± Asset Accounting Preparations for Production Start up ± Production Start Up ± Set Reconciliation Accounts
52
Set Reconciliation Accounts Automatically Company Code (*=All)
6023
Select Execute It displays all Reconciliation Account Sales Revenue from Asset Sale Profit from Sale of Asset Back Button Reset Reconciliation Accounts : Use Reset Reconciliation Accounts to Reset TRANSFER BALANCES :
Document Date Posting Date Period Company Code Document Type Specify the GL Account Balances GL BS AR
01.04.2007 01.04.2007 01.04.2007 6023 AA (Asset Accounting )
Local Current Amount
D
C
Line Item Next
Create One Asset Clearing Account ± Debit All Asset Account ± Credit the total Amount to Asset Clearing Account (When we are creating posting entry for balance sheet Debit to Clearing Account All Asset master record balances)
01. Invoice Credit Memo
40
50
70
75
02. Reverse Invoice / Credit Memo
02
12
22
32
03. Bank Charges
13
04. Other Receivables
04
14
24
34
05.
Out going / Incoming Payment
05
15
25
35
06.
Payment Differences
06
16
26
36
07.
Other Clearing
07
17
27
37
53
08.
Payment Clearing
08
09.
Special GL
09
18
28
38
19
29
39
Material Transaction
Dr 8
Cr 9
0 1 2. 3. 4. 5. 6. 9.
80 81 82 83 84 85 86 89
90 91 92 93 94 95 96 99
Inventory / Taking Cost Inventory Difference Price Differences Consumption Change in Stock Goods Receipt/Invoice receipt Stock Inward Movement/ Outward Movement
FIELD STATUS GROUP Master Data 1. General Ledger Account 2. Customer 3. Vendor 4. Asset Accounts 5. Bank Accounts
Transaction Data Outgoing Service Incoming Service Outgoing Payment Incoming Payment Accounting Payment
Adjustment Documents Depreciation Posting Asset Transaction Clearing Documents INFORMATION FOR INTERNAL MANAGEMENT
Cost Center Cost Order / PP Order Profitability Segment Profit Center Cost Object Funds Funds Center Bussiness Line ± is nothing but a profitability segment Financial Area ± Administrative Expences
54
Assigning Bussiness Information while posting a document to various business objects in R/3 System is called account assignment object. To
Design/Customise the Screen Layout for master Data under Transaction Data : R/3 System Provides a facility to change the standard screen layout provided in the system. To Change the screen layout R/3 System maintains a status of the field. The status of the field are A) Suppressed / Hidden B) Required Mandatory C) Optional Two
types of field Status Group 1) Master Data
2)
Transaction
Data Field Status Group (Screen Layout) 80 Fields
1. Field Status Varient : Create FSV 2. Assign FS Group to FSV 3. Assign FSV to Company Code
TC
is OBCY TC is OBC5
MAINTAIN FIELD STATUS VARIANT : Spro / Ref Img ± FA ± FAGS ± Document Line Item ± Controls ± Maintain Field Status Variant ± Select 0001 FSV ± Select Copy as TC is OBC4
FSV 0001
Field Status Name Field Status for 0001 Default
Copy as Enter the FSV 6023 Enter
Field Status Name Field Status for 6023
Select Copy All ± Enter ± Save ± Select the Field Status Variant ± Select Field Status Group Field Status Group 6001 6002
Text
General
Select the group to check the fields in the field status group Select ± Edit Field Status ± Grey indicates all the fields are suppressed ± Blue indicates the field are required (May not be all) Select Group General Data Material Management
55
To
view the fields in the group double click on Ex : General Data To See the Help of the Field ± Keep the cursor on the field ± Select field check General Data Assignment Number Invoice Reference No 1 Data Displayed LINE ITEM
The
Part of document containing information on a Single item
Back to menu item ± Assign Company Code to Field Status Variant ± Position Button (TC is OBC5) Company Code
6023
Company Company Name City FSV 6023 Reliance Bangalore 6023 Save SAP has Standard Screen for Withholding Tax & not Screen Variant for Document Entry : TC is OB71 Position Button Enter Company Code ± Selection Screen Variant 2 Standard Version (or) Ex : 1. Austria and Switzer Land 1. France and Countries with Withholding Tax 2. Countries with Classic Withholding Tax Save TOLERENCE GROUPS : Tolerance group are used to give an authorization or permission to an employee of Organisation to do an Activity we need to specify the following in TG
1. 2. 3. 4.
Upper Limit per Document Upper Limit to post Open Item & Account Item (Customer or Vendor Data) % Cash Discount Payment Differences (Invoice Amount Payment Received Ex : 500 Rs. 10000 9500) can be specified as amount and percentage
Payment differences can be specified in the form of absolute amount (or) Percentage (or) Both. If both is specified the system will consider the lowest of these two to accept the payment differences. It can also be setoff against any discounts or writeoff against expense or revenue account GL Ledger
User Tolerance
AR
AP
56
Tolerance
Tolerance
1.Payment Differences 2.Specified for Specific Generals Ex : 100 TC is OBA0 The
Upper Limit for Document Upper Limit for Open Item Upper Limit for Account Item Cash Discount % Payment Differences Globally Specified Applical to All Generals Ex 200 TC is OBA4
Payment Difference Specific Customers (or) Vendors Ex : 150 TC is OBA3
Lower of these 2 take as a Upper Limit
DEFINE (EMPLOYEE) TOLERANCE GROUP FOR GL ACCOUNT : Spro ± Ref Img ± FA ± GL ± Bussiness Transaction ± Open Item Clearing ± Clearing Differences ± Define Tolerance Group for GL Clearance (SAP maintaince default tolerance group i.e Blank Space) TC is OBAO New Entry Co Code 6023
Tol Group ---
Name of Tolerance Group DR 50 Tolerance for GL 6023
CR 50
%DR
%CR
Back to menu Item DEFINE TOLERANCE GROUP FOR EMPLOYEES : (TC is OBA4) New Entry Company Code 6023 Amount per Document 100000 Account Open Item Account Item 500000 Cash Discount per Line Item 10% Expences 500 Revenue 500 Save DEFINE TOLERANCE GROUP FOR ACCOUNTS RECEIVABLE AND Spro / Ref Img - Financial Accounting ± Accounts ACCOUNTS PAYABLE : Receivable ± Accounts Payable ± Bussiness Transactions ± Outgoing Payments ± Manual Outgoing Payments TC is OBA3 DEFINE TOLERANCE GROUP FOR AR & AP : New Entry Company Code : 6023 Tolerance
Group
AR /AP Tolerance for 6023
Grace Days Due Date : Arrears Base Date :
57
Gain 500 Loss 500 Save & Back to Menu Item Value date other than the posting data for arriving the New Date ENTERPRISE STRUCTURE (Document controls for processing Information to Maintain Data) Fiscal Year Open and Close Posting Period Field Status Group Posting Periods Document Types Number Ranges Tolerance Group Use have to set up the Master Data
MASTER DATA : First we need to setup Screen Layout for Master Data
1. General Ledger 2. Bussiness Partner Account : (In this account is called Reconciliation Account) Sundry Debtor : Customer Sundry Creditor : Vendor 3. Bank Account 4. Asset Account This Account is Reconciliation Account 1. Chart of Account 2. Assign Chart of Account to Company Code 3. Account Group 1. GENERAL LEDGER ACCOUNT : Is a List of all GL Account
There
is a Chart of Account. Assign Chart of
For Each General Ledger Account that Chart of Account contains two types of Data 1. General Data / Chart of Account Data 2. Company Code Data 1. General Data : a) General Ledger Account No b) Description of the GL Account c) Account Group (Assets/Liabilities) d) Account Item P&L Account & B/L Sheet Length of General Ledger Minimum number is 10 PREREQUISITES FOR CREATION OF GENERAL LEDGER ACCOUNT
Company Code Data :
Account Currency Taxes Information
58
Bank Information Interest Information Retained Earnings Account Field Status Group Tolerance Group Transaction Data is nothing but a Screen Layout Retained Earnings Account Which is used for transferring to next year. CHART OF ACCOUNT : 1. Group 2. Operation 3. Country Specific
The
Chart of Account has 3 Functions Create Only General Data Create Only General Data & Company Code Data
The
Group Account No must be assigned to General Data Assignment of Group Chart of Account to Company Code is Optional Assignment of Operation Chart of Account to Co Code is mandatory 3.Country Specific is optional MAINTAIN CHART OF ACCOUNT : TC is OB13 A/C ± GL Accounts ± Master Records
:
Spro ± Ref Img ± FA ± GL
While creating Account Groups we can co ntract the following : 1. Number Range 2. Field Status Group for Master Data Preparations ± Edit Chart of Account List ± New Entry Enter 4 Character Key for o ur Chart of Account Chart of Account 6023 Discription Chart of Account for 6023 Maintain Language EN English Length of GL Account No 6 Maximum 10 Digits R/3 System uses Cost Control CONTROL INTEGRATION : Manual Creation of Cost Element (Default) & Save ASSIGN COMPANY CODE TO CHART OF ACCOUNT : TC is OB62 Enter Position Enter Company Code 6023 DEFINE ACCOUNT GROUP : (Can also be Left Blank) CHART OF A/C 6023 6023 6023
