In this topic, we described about the Asset Accounting and Asset Accounting integration process along with technical information.
Asset Accounting is used for managing and monitoring fixed assets. In Financial Accounting, it serves as a subsidiary ledger to the general ledger, providing detailed information on transactions involving fixed assets.
Asset Accounting integration -
As a result of the integration in the SAP system, Asset Accounting transfers data directly to and from other systems.
It is possible to post from the Materials Management (MM) component directly to Asset Accounting. When an asset is purchased or produced in-house, you can directly post the invoice receipt or goods receipt, or the withdrawal from the warehouse, to assets in the "Asset Accounting" component.
At the same time, you can pass on depreciation and interest directly to the Financial Accounting (FI) and Controlling (CO) components. From the Plant Maintenance (PM) component, you can settle maintenance activities that require capitalization to assets.
The Asset Accounting component consists of the following parts: -
- Traditional asset accounting
- Processing leased assets
- Preparation for consolidation
- Information System
Traditional asset accounting encompasses the entire lifetime of the asset from purchase order or the initial acquisition through its retirement.
The system calculates to a large extent automatically, the values for depreciation, interest, insurance and other purposes between these two points in time and places this information at your disposal in varied form using the Information System.
There is a report for depreciation forecasting and simulation of the development of asset values. The system also offers special functions for leased assets, and assets under construction.
The system enables you to manage values in parallel currencies using different types of valuation. These features simplify the process of preparing for the consolidation of multi-national group concerns.
The Plant Maintenance (PM) component offers functions for the technical management of assets in the form of functional locations and as equipment. The Treasury (TR) component offers special functions for managing financial assets.