Depreciation Calculation for Subsequent Acquisition (where first acquis. is in last month of FY and period control is 11)
165036 - Period control of subsequent periods
Version 5 from 12.03.2004 in English
Component:FI-AA
Priority:Recommendations / Additional Info
Category:Consulting
Release Status:Released for Customer
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DescriptionSoftware Components
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Symptom
The system calculates too high depreciation values although period control subsequent month or subsequent quarter is selected.
Other Terms
Reason and Prerequisites
1. The depreciation start date is the asset value date.
2. The acquisition occurs in the year of the depreciation start.
Solution
1. An acquisition with an asset value date at the depreciation start date is generally not calculated with period control but from the depreciation start date.
a) Example - subsequent month period control
Original acquisition 01/30/FY -> Dep.start date: 02/01/FY
Subsequent acquisition 02/01/99 ->
The system calculates depreciation for this acquisition from the start date and not from 03/01/FY independent of indicator 'Calculate depreciation from the asset value date' (XBZDAT).
b) Example - subsequent year period control
Original acquisition: 12/31/FY -> Dep.start date: 01/01/FY+1
Subsequent acquisition: 01/01/FY+1
This acquisition is not calculated from FY+2, but from FY+1 because it is posted at the depreciation start date.
c) If you implement Note 716798, the restriction no longer applies. As a result, transactions are also calculated at the despreciation start date with the period control of the transaction.
This note becomes a standard in ERP.
2. Acquisitions with an asset value date in the depreciation start year are depreciated from the depreciation start date independent of the period control unless the indicator 'Calculate depreciation from the asset value date' (XBZDAT) has been set.
a) Example - period control 08 (subsequent year)
01/30/FY -> Dep.start date 01/01/FY+1
Subsequent acquisition 01/30/FY+1 -> the depreciation is calculated from FY+1.
There are two options: Set indicator XBZDAT or post subsequent acquisitions in the depreciation start year to a subnumber.
For indicator XBZDAT, refer to Note 53166. If you want to use the variant with indicator XBZDAT nevertheless, contact SAP Consulting.
Purpose
The Purpose of this Wiki is to show the effect of a first posting to an asset in the last period of the fiscal year and where period control is "Next Month" (11). But also what it means in regards to depreciation calculation in the event that a subsequent posting is made in the next fiscal year (but technically is still the first year of acquisition).
Overview
The First Year of Acquisition is always referred to as the Year in which the Ordinary Depreciation Start Date is set. Hence in a scenario where you post your first acquisition in the last period of a fiscal year (FY) but with a period control of "Next Month", the Ordinary Depreciation Start Date is actually 01.01.FY+1. Any subsequent acquisition posted within this 'first year of acquisition' will have the same depreciation start date of 01.01.FY+1 (in this example scenario below it will be 01.01.2012).
Postings done in any subsequent year from which depreciation start date is set, will have depreciation calculated from the asset value date.
First Acquisition Posting to an Asset: an example scenario
1) An Asset is acquired and capitalized on 08.12.2012 ( = Acquisition year 2012 012). Fiscal year variant is from January to December as per a normal calendar year.
Fiscal Year 2012
2) According to the assigned depreciation key XYXY the period control method has period control 11 (next month) assigned for acquisition (Acq) and subsequent acquisition (Add).
What does this mean in real depreciation calculation terms for year 2012, 2013, 2014 in this example?
First acquisition: 08.12.2012 -> Since the period control for first acquisition is "Next month", the system assigns correctly the Depreciation Start Date 01.01.2013. Hence no depreciation is calculated in fiscal year 2012.
This is also reflected in the Asset Explorer in transaction AW01N: the system only starts calculation of depreciation in 2013, and correctly starts on 01.01.2013.
Second (Subsequent) Acquisition Posting to the Asset (in first year of acquisition)
1) Let's assume that on 07.06.2013 a subsequent acquisition is posted to the asset.
Fiscal Year 2013
2) The system correctly recalculates depreciation for all 12 periods. This is so since in the year of the depreciation start date every subsequent posting is being calculated form the depreciation start date (and not from the asset value date).
This is also explained in SAP Note 165036 - Period control of subsequent periods.
A note on the side: since the subsequent posting is done in period 6, the system will make a catch-up posting for the 5 previous periods (period 1-5) and includes of course the amount for period 6, too. If you have set the indictor for "Smoothing" in transaction OAYR (Posting Rules) the system will apply and distribute the depreciation amount evenly for each period 1-12.
Third (Subsequent) Acquisition Posting to the Asset (in subsequent year of depreciation start date)
1) Another subsequent transaction is posted. This time it is in the subsequent year (2014) from which depreciation start date is set (2013): Asset Value Date is 19.09.2014
Fiscal Year 2014
2) Now the system calculates depreciation from the Asset Value Date taking into account Period Control 11 ("Next Month") for subsequent acquisition (as seen under field "Add" in the period control method - see above screen shot): hence depreciation is calculated from 01.10.2014 as seen in next screen shot. No catch-up is calculated for period 1-9 anymore.
