SAP FICO Interview Questions and Answers - 4

Fixed Assets

What are the organizational assignments in asset accounting?

Chart of depreciation is the highest node in Asset Accounting and this is

assigned to the company code.

Under the Chart of depreciation all the depreciation calculations are

stored.

How do you go about configuring Asset accounting?

The configuration steps in brief are as follows:-

a) Copy a reference chart of depreciation areas

b) Assign Input Tax indicator for non taxable acquisitions

c) Assign chart of depreciation area to company code

d) Specify account determination

e) Define number range interval

f) Define asset classes

g) Define depreciation areas posting to general ledger

h) Define depreciation key

Explain the importance of asset classes. Give examples?

The asset class is the main criterion for classifying assets. Every asset

must be assigned to only one asset class. Examples of asset class are

Plant& Machinery, Furniture & Fixtures, Computers etc. The asset class

also contains the Gl accounts which are debited when any asset is

procured. It also contains the gl accounts for depreciation calculation,

scrapping etc

Whenever you create an asset master you need to mention the asset

class for which you are creating the required asset. In this manner

whenever any asset transaction happens the gl accounts attached to the

asset class is automatically picked up and the entry passed.

You can also specify certain control parameters and default values for

depreciation calculation and other master data in each asset class.

How are depreciation keys defined?

The specifications and parameters that the system requires to calculate

depreciation amounts are entered in Calculation methods. Calculation

methods replace the internal calculation key of the depreciation key.

Depreciation keys are defaulted in Asset Master from the asset class.

Refer to the configuration for more details of how depreciation is

calculated.

A company has its books prepared based on Jan –Dec calendar year

for reporting to its parent company. It is also required to report

accounts to tax authorities based on April- March. Can assets be

managed in another depreciation area based on a different fiscal

year variant?

No. Assets accounting module cannot manage differing fiscal year variant

which has a different start date (January for book depreciation and April

for tax depreciation) and different end date (December for book

depreciation and March for tax depreciation). In this case you need to

implement the special purpose ledger.

What are the special steps and care to be taken in Fixed asset data

migration into SAP system especially when Profit center accounting

is active?

Data migration is slightly different from a normal transaction which

happens in Asset accounting module.

Normally, in asset accounting the day to day transactions is posted with

values through FI bookings and at the same time the asset reconciliation

is updated online realtime. Whereas In data Migration the asset master

is updated with values through a transaction code called as AS91. The

values updated on the master are Opening Gross value and the

accumulated depreciation. The reconciliation GL account is not

automatically updated at this point of time.

The reconciliation accounts (GL codes) are updated manually through

another transaction code called as OASV.

If profit center is active, then after uploading assets through AS91 you

should transfer the asset balances to profit center accounting through a

program.

Thereafter you remove the Asset GL code (reconciliation accounts) from

the 3KEH table for PCA and update the Asset reconciliation account (GL

code) through OASV.

After this step you again update the Asset reconciliation account in the

3KEH table.

The reason you remove the Asset reconciliation code from 3KEH table is

that double posting will happen to PCA when you update the Asset

reconciliation manually.

Is it possible to calculate multiple shift depreciation? Is any special

configuration required?

Yes it is possible to calculate multiple shift depreciation in SAP for all

types of depreciation except unit of production. No special configuration

is required.

How do you maintain multiple shift depreciation in asset master?

The following steps are needed to maintain multiple shift depreciation:

1. The variable depreciation portion as a percentage rate is to be

maintained in the detail screen of the depreciation area.

2. The multiple shift factor is to be maintained in the time dependent

data in the asset master record. This shift factor is multiplied by

the variable portion of ordinary depreciation.

Once you have done the above the SAP system calculates the total

depreciation amount as follows:-

Depreciation amount = Fixed depreciation + (variable depreciation * shift

factor)

Let’s say you have changed the depreciation rates in one of the

depreciation keys due to changes in legal requirements. Does

system automatically calculate the planned depreciation as per the

new rate?

No. System does not automatically calculate the planned depreciation

after the change is made. You need to run a program for recalculation of

planned depreciation.