cleanFiles/bookmap_Outline_of_asset_accounting_processes_en-US_learning-sap-com_lsc-prod.zip (MMCP-DROPZONE) - 2025-02-18T13:17:13.000Z

Performing a Depreciation Run

<div id="content"><div class="parentsection"><div class="section"><p tabindex="0">Kevin has heard from his manager that the depreciation run generates a very important posting for the month-end closing. To be well prepared Kevin for this important task, Kevin decides to meet with Lisette again to learn more about the depreciation process. He asks her to explain the depreciation process.</p><div class="kalturaVideoLessonWrapper"><div aria-label="" class="kalturaVideoLessonContainer" data-testid="video" id="1_fa7llc58"></div></div><div tabindex="0"><h3>Lisette's Summary</h3></div><div class="formalblock"></div><p tabindex="0">The depreciation run consists of four process steps. Each depreciation run must be followed by an error check. The depreciation run and any repeat depreciation runs post general journal entries.</p></div></div></div>

Depreciation Run Process

<div id="content"><div class="section"><p tabindex="0">Learn more about how to perform the depreciation run, by watching the video below.</p><div class="kalturaVideoLessonWrapper"><div aria-label="" class="kalturaVideoLessonContainer" data-testid="video" id="1_6iibguvj"></div></div></div><div class="section"><p tabindex="0">Kevin wants to make sure that there are no problems with the depreciation run. Therefore, he first calls the depreciation run as a test run.</p><p tabindex="0">Help Kevin identify and correct possible errors before month-end closing.</p><div class="simulationTile exercise"><div class="content"><span class="simulationLabel">Exercise</span><a href="https://learnsap.enable-now.cloud.sap/pub/mmcp/index.html?show=project!PR_18A7CDFD19F6788C:uebung" target="blank" class="simulationButton">Start Exercise</a></div><div class="simulationImage"><img src="/illustrations/simulation-exercise.svg" alt="Create a depreciation test run, Analyze the results of the depreciation test run, Create a PDF of the results of the test run" class="no-zoom"></div></div></div><div class="section"><p tabindex="0">Learn how to check the result of the depreciation run, by watching the video below.</p><div class="kalturaVideoLessonWrapper"><div aria-label="" class="kalturaVideoLessonContainer" data-testid="video" id="1_wd258ocb"></div></div></div><div class="section"><p tabindex="0">The depreciation run has been executed. Kevin analyzes the documents. He calls the depreciation list and the <strong>Manage Fixed Assets</strong> app.</p><div class="simulationTile exercise"><div class="content"><span class="simulationLabel">Exercise</span><a href="https://learnsap.enable-now.cloud.sap/pub/mmcp/index.html?show=project!PR_96B8437BDEBBE182:uebung" target="blank" class="simulationButton">Start Exercise</a></div><div class="simulationImage"><img src="/illustrations/simulation-exercise.svg" alt="Analyze the posted depreciation with the Manage Fixed Assets app, Analyze the posted depreciation using the Depreciation Lists app" class="no-zoom"></div></div></div></div>

Execute a Depreciation Test Run and Analyze the Log

<div id="content"><div class="parentsection"><div class="section"><div tabindex="0"><h3></h3></div><div tabindex="0"><h3>Kevin's Key Takeaways</h3></div><div class="formalblock"><div class="note"><div class="noteTitle"><span class="noteIcon"><img title="Note" src="/icons/note.svg"></span><span class="noteTitleText">Note</span></div><div class="noteBody"><ul style="list-style-type:disc"><li tabindex="0">Perform depreciation test run</li><li tabindex="0">Correct errors timely</li><li tabindex="0">Perform a depreciation run</li><li tabindex="0">Check the status of the depreciation run (errors occurred, documents posted successfully)</li><li tabindex="0">Correct errors</li><li tabindex="0">Repeat the depreciation run (optional)</li><li tabindex="0">All errors must be corrected by the year-end closing</li><li tabindex="0">Depreciation run cannot be reversed</li></ul></div></div></div></div></div></div>

Final Notes on Depreciation

Performing Asset Accounting Processes in SAP S/4HANA

<div><div>Explore the intricacies of the depreciation run process in SAP, from recalculating depreciation amounts to conducting test runs and posting corrections. Understand the key steps and considerations involved in each phase.<br><br># This description was auto-generated #</div></div>

Depreciation Run

Welcome to SAP. So you've already heard the term depreciation run, but you haven't fully grasped the process behind it. Let's find out more together. First, before starting a depreciation run, we ensure that all invoices for the fiscal period have been posted and that all settlements to assets under construction have taken place. When we start the depreciation run, some system jobs begin automatically. Let's have a look at those jobs in detail. The first job is called Recalculate Depreciation. In this step, the database is updated with adjusted planned depreciation amounts for each Asset Master Record, with relevant changes since the last depreciation run. The depreciation recalculation is triggered, for example, for assets with any changes to their value, depreciation method, or useful life. The second job is the Depreciation Test Run. The test run will simulate the depreciation run, allowing us to check for errors and correct them. A test run can also be performed for individual assets in contrast to an actual depreciation run, which is always for all assets. Finally, we're ready for the depreciation run. The depreciation run adopts the planned asset values and posts them in financial accounting. The posting updates the Universal Journal at the asset level. After a depreciation run, the system generates a run log. We need to check this and correct any errors if possible. Let's talk about repeating the depreciation run. If we correct any errors promptly, the depreciation run can be repeated for the same period. A repeat depreciation run in the same posting period posts the corrections and only the corrections to the general ledger in a separate journal entry. If errors are not corrected in time to repeat depreciation posting in the current period, the corrections will be posted automatically in the following planned depreciation run. Let's summarize some key points. The depreciation run consists of four process steps. Each depreciation run must be followed. By an error check, the depreciation run and any repeat depreciation runs post-general journal entries.

Run a Depreciation Run as a Test Run and Analyze the Log

To start the depreciation process, we choose the periodic activities page under the Fixed asset section in the Schedule Asset Accounting Jobs app. We create jobs for the year end closing. We can then evaluate the result of the jobs. We start the depreciation process with a job Recalculate. Depreciation jobs can be started immediately or periodically. For example, once a month at the end of the month. For this example, we will start the job immediately. In the third step, we enter the company code 1010. A test run does not recalculate the depreciation. However, we can recognise problems and identify if we need to perform recalculations. To check the log, we choose detailed log to refresh the output we choose Go. If the depreciation calculation is current, the system issues a success message. In the log file, we can view the parameters. For example, if the test run was on, no attachments are listed in the result list. This means that depreciation does not have to be recalculated. The first result list shows the result for ledger zero L. The second result list shows the result for ledger two L. The third result list shows the overall result for both ledgers. If depreciation for fixed assets must be recalculated, the system issues a warning message. The assets with the new depreciation values are listed in the results lists. Let's create a new job for a test depreciation run for posting period two, the template is selected correctly. We change the description of the job to better identify the test runs. The test run is to be executed immediately. In the third step, we enter 1010 for the byte company and the company code field. We enter the fiscal year and posting period of the depreciation run in our example period, one has been posted, period two is the next planned period. We leave the ledger field blank. This runs the depreciation for all ledgers. We select Test run to simulate the depreciation run without creating postings to the universal journal. The status of the test run shows errors. The job log shows that Cost centre 101-01-1909 is locked. We can correct the error by changing the asset master record. First, we need to know which asset it concerns. To do this, we open the results list. We select the complete list of the eight assets. Seven are error free. One asset is assigned to the Locked Cost Centre, 101-01-1909 First we see the planned depreciation values for depreciation area one. These values are posted to ledger zero L. Then the plan depreciation values for the statistical depreciation area 15, we see the planned depreciation values for depreciation area 32. These values are posted to ledger two L. The errors are displayed at the end of the list. The asset starting with three n, N, and two office furniture needs to be corrected in both ledgers. In the example, we want to check what happens if we cannot correct the error in time. Let's say we can't fix the error in time. We perform a depreciation update run and check the effect. We want to carry out an update run for posting period two. We deselect test run. Please note that the depreciation postings cannot be reversed as expected. The run ended with errors. Let's look at the overall list of results for all depreciation areas. In the result list, we recognise the seven error free assets with the depreciation values for depreciation area 1.32 that were posted to the Universal Journal. The incorrect asset starting with three and Indian two, office furniture should have been posted. Let's have a look at the job log. The error message is the same as from the test run. The cost centre, Tintin 11 99 is locked. The second job log shows the posted document number ending in three for ledger L. The first job log displays the posted document number ending in 25 for the ledger two L. Let's correct the error by entering a new cost centre. We select the assets starting in three Digan two office furniture in change mode We choose at an interval on the time dependent data starting February Fe 2023. The new cost centre, 10101101 will be used if the error was corrected after the update run, but we still can post in the period, we can repeat the depreciation posting for the current period. Let's do a test run to check the result. There is an attachment in an update run, two additional documents would be generated for ledger zero L and two L with the depreciation posting of the asset office furniture. What if we don't want to perform a second run or if it's too late for a second run as the period is already closed, Let's create a test run again, but for the following posting period, period three, we can see that the depreciation of the eight assets is carried out in posting period three for the asset starting in three and Indian two, office furniture depreciation is posted for periods 3.2 In our example, we decide to repeat the depreciation run for period two. Note that only the last period run can be repeated. It's not possible to repeat period one even if the posting period is open, as depreciation has already been posted. For period two, repeat runs are usually required in the context of a year in closing. The depreciation in period 12 can be repeated until the depreciation values for year in closing are correct. In our example, looking at the job log, we can see that documents were posted. We can see the log of the update run and verify that the numbers look exactly as in the test run.

Analyze the Results of the Depreciation Run

To analyze the posted depreciation, we choose the Depreciation List app. Depreciation was posted up to posting period 2. We look at the posting results for the posted depreciation for Depreciation Area 1 local gap. €7,483 depreciation was posted in Ledger 0L in period 01 and 02. To analyze the individual assets, we expand the groups. We check the 3D printer, including its protective enclosure. The acquisition values are 20,000 and 1,000. Accumulated depreciation was posted for periods 1 and 2 in the amounts of 333 and 17 euro. For the statistical depreciation area 15, 833 and 42 euro were updated in the technical ledger. The different depreciation amounts result from the different depreciation keys. Station area 32 IFRS is linked to Ledger 2L. Here 417 and 21 were posted to Ledger 2L for the 3D printer and its protective enclosure. Let's look at the changes to the Manage Fixed Assets app. We choose the 3D printer asset number, starting in 2 and ending in 2. First, let's look at Depreciation Area 1 in the Detail view. On the Depreciation tab, we can see that the planned depreciation has become posted depreciation. For period 2, a 166 euro depreciation was posted for the main asset number. The Journal Entries with transaction type 500 represent the depreciation posting on the Journal Entries tab. We select the document for posting period 2 with a posting date of February 28th. The document, ending in 3, contains the depreciation postings for ledger 0L in posting period 2. Two line items are posted for each asset. For the 3D printer account 64002000 depreciation expenses machine on debit, an account 17002000 value adjustment machine posted on credit. The asset number, asset value date, and transaction type fields are also filled in the general ledger document. Other fields relevant to fixed assets have been filled, for example the asset class. The depreciation expenses GL account 64002000 are relevant for controlling, therefore the cost center defined in the asset master record is also updated in the document. Since we want to use the display again, we save the settings. Let us now look at statistical Area 15. This is for reporting purposes only and shows the tax view of the asset in the example. In the depreciation list we can evaluate this depreciation area. An internal document has been created. However, no posting to the general ledger has been generated, so there is no document to display. As a result of this technical posting, Area 15 can be evaluated in the asset balances or the asset history sheet, but not in the financial statements. Let's look at the 3D printer in depreciation area 32, which represents the view according to IFRS. A depreciation of 209 euro was posted for posting period 2. The document ending in 25 contains the depreciation postings of Ledger 2L for posting period 2. Two line items are posted for each asset. For the 3D printer, the General Ledger Account 64002000 Depreciation Expenses Machine is debited, and the Account 17002000 Value Adjustment Machine is credited. Let's look at the Asset History Sheet. The Asset History Sheet app displays asset transactions and planned values. It is a statutory report that is generated periodically. SAP provides pre-configured key figure groups that you can use for your reporting. These key figure groups bundle key figure codes such as acquisitions, retirements, transfers, and depreciation. We select the key figure group for the asset history sheet with posted values AHS. We call up the asset balances of the bike company 1010 for the local ledger 0L for depreciation area 01. We want to analyze depreciation in 2023, up to and including period 2. To display the 3D printer, we select the fixed asset field in the navigation area. In the acquisition column for the 3D printer and protective enclosure, we see accumulated acquisition value of 21,000. This was a current year acquisition. The Depreciation Current Year column shows the accumulated depreciation of posting periods 1 and 2. €350 was depreciated for the 3D printer, including the protective enclosure. The asset was neither retired nor transferred. The netbook value of the 3D printer is 20,650 at the end of the second posting period. For the depreciation area 15, 875 euro was depreciated. We select ledger 2L to display the IFRS valuations. Then we choose depreciation area 32. Here, 438 euro was depreciated. The netbook value of the 3D printer and the enclosure is 20,562 at the end of the second posting period.