TFIN52 Part 1 – Financial Accounting II (ECC)

Unit-by-unit study notes written from the course material. Every lesson of the course is covered in the same order as the original.

Unit 1: Organizational Structures

Lesson 1: Assigning a Chart of Accounts and a Chart of Depreciation to a Company Code

Learn what the FI-AA organizational units are, what a chart of depreciation is, and how a company code becomes usable for Asset Accounting by receiving a chart of depreciation.

Organizational units relevant to FI-AA

The course notes that with new General Ledger Accounting active, document splitting is what makes complete balances possible for business areas (profit center and segment are the standard characteristics for which this works out of the box). Document splitting is deliberately not activated for the training company codes (AA##), because it is irrelevant for understanding how FI-AA works; the activation status is visible with FAGL_ACTIVATION. New G/L does, however, offer an alternative way of handling parallel accounting (ledger approach), which forces a different FI-AA configuration – this is covered in Unit 4 and in course AC210.

Chart of accounts versus chart of depreciation

The chart of accounts holds all G/L accounts; FI-AA simply reuses the operative chart of accounts assigned to the company code in FI. It can be shaped for global, industry or country needs.

The chart of depreciation is the FI-AA-specific structure. It bundles the valuation rules a country requires for depreciating and valuing assets, and because these rules are country-specific, SAP ships sample charts of depreciation per country (0DE for Germany, 0US for the USA, 0GB for the UK, and so on). You never use a sample directly; you copy it into your own chart of depreciation and adapt it. Several company codes may share one chart of depreciation and one chart of accounts, but every company code has exactly one of each.

Within a chart of depreciation, each depreciation area (two-digit numeric key) represents one valuation view. Area 01 is the leading depreciation area and normally mirrors local accounting principles; it has a special role throughout the course. Further areas can represent:

• tax balance sheet valuation
• cost-accounting (costing-based) valuation
• valuation in another currency or according to another approach, e.g. group valuation / IFRS / US GAAP for consolidated statements
• capital tax valuation
• derived differences between book and tax depreciation

The point of having several areas is that the same asset portfolio must be valued differently for different audiences: local book depreciation, tax authorities (where a different valuation is allowed), internal cost accounting, and parallel accounting for a group balance sheet.

Training-system specifics: in Germany the exercises copy chart of depreciation 1AC (a copy of 0DE plus a few extra values) because the 0DE in the training system differs from the standard; US classes may use 1ACU (near copy of 0US).

Making a company code an FI-AA company code

1. Create and configure the company code in FI (global parameters, fiscal year variant, etc.).
2. Assign a chart of depreciation to it – ideally as a separate project step.
3. Enrich the company code with the remaining FI-AA Customizing (number ranges, account assignment, screen layouts, …).

Only then can assets be created and posted for that company code. A company code without a chart of depreciation cannot use FI-AA at all – which may be intentional, e.g. a small company code that manages its fixed assets in an external system.

Configuration paths

Lesson 2: Assigning Management Accounting Objects to Fixed Assets

See which Controlling objects can be stored in an asset master record and which of them can receive the depreciation that FI-AA posts.

CO objects in the asset master

FI-AA is integrated with Management Accounting through account assignment objects in the asset master record. The CO objects belong to the controlling area, so they may be valid for one or several company codes. The "genuine" CO objects you can enter are:

Objects from other applications that carry controlling functionality can be assigned as well: WBS elements, real estate objects, maintenance orders (statistical only) and Public Sector Management objects.

Where depreciation can be posted

Depreciation from any depreciation area can flow to: a cost center; a real order; cost center plus statistical order; a WBS element; cost center plus statistical WBS element; a real estate object; or PSM objects. A single asset can never be split between two cost centers. If an asset's cost must be shared, assign it to a real internal order and settle that order periodically to the receiving cost centers.

Lesson 3: Defining How Depreciation Areas Post to the General Ledger

Decide, per depreciation area, which values (APC, depreciation, none) are transferred to FI and how, and link each area to a financial statement version for asset reporting.

Why not every area posts

FI-AA is a subledger: each asset carries values in several depreciation areas, but financial statements are only needed for some of them. Customizing therefore defines for each area whether and how values reach the G/L (classic "accounts approach", where each parallel valuation has its own set of G/L accounts).

Area 01 posts APC online. Traditionally area 01 represents local GAAP, but increasingly companies put the international accounting principle (IFRS/US GAAP) into area 01 so that it is the view updated in real time. Areas other than 01 can push APC to FI either periodically through program RAPERB2000 (periodic APC posting) or directly (indicator 4). Depreciation is never posted in real time – it is always a periodic run with RAPOST2000.

Financial statement versions for asset reports

Values of different areas can be routed to different balance sheet and P&L accounts, and any number of financial statement versions (FSV) can be defined per chart of accounts in G/L Customizing. To let asset reports group assets by financial statement item, each depreciation area must know which FSV applies: IMG Financial Accounting (New) → Asset Accounting → Integration with General Ledger Accounting → Specify Financial Statement Version for Asset Reports. The report then shows the items when you select a sort variant containing the financial statement item field (structure ANLAV, field ERGSO).

Related configuration

Course example (chart AA##): area 01 posts in real time, area 20 (cost-accounting) posts only depreciation, all other areas do not update the G/L. Areas 30/31 are the consolidated-balance-sheet areas and receive FSV CAUS; the others get INT. Areas 31 and 32, which report in group currency, are set to USD.

Lesson 4: Understanding the Importance of Asset Classes in Fixed Assets

Understand why the asset class is the central classification and control object for fixed assets and what it carries.

Role of the asset class

Every asset belongs to exactly one asset class (buildings, vehicles, fixtures and fittings, machines, …). Asset classes are defined at client level and are the main criterion for classifying assets: assets that appear under different balance sheet items (buildings vs. machines) must be in different classes. Special classes exist for assets under construction, low-value assets, intangibles such as patents or software, and leased assets.

Structure of an asset class

An asset class has two main sections:

• Master data section – default values for master record fields plus control data: account determination, number range interval and screen layout rule.
• Depreciation data section – per depreciation area, proposed depreciation terms (key, useful life, …). Individual areas can be deactivated for a class, and proposed terms can be overwritten when an asset is created.

Because one asset class can be linked to several charts of depreciation, a group can keep a globally uniform class catalog while depreciation rules differ per country.

Scope note: FI-AA covers the financial valuation of tangible/intangible assets. Technical asset management belongs to Plant Maintenance (Enterprise Asset Management); financial instruments are handled in Treasury and Risk Management (Accounting → Financial Supply Chain Management).

Unit 2: Master Data

Lesson 1: Explaining the Components of an Asset Class

Understand each control element inside an asset class – account determination, number range, screen layouts, user-field defaults – and the particularities of the AuC and LVA classes, so that the class can act as a reliable template for future asset master records.

Account determination

The account determination key in the class is the bridge between an asset's values and the G/L accounts that receive its APC and depreciation postings. One key can serve different strategies:

• With a very small class catalog the key could simply equal the balance sheet account number (rare in practice).
• Several similar classes can share one key and therefore post to one balance sheet account.
• If company codes use different operative charts of accounts, a single key is enough: the G/L accounts are maintained per chart of accounts behind the same key.

Accounts are maintained under Financial Accounting (New) → Asset Accounting → Integration with General Ledger Accounting → Assign G/L Accounts (AO90), per chart of accounts and account determination. For every area that posts depreciation you need extra accounts: accumulated depreciation, depreciation expense and write-up revenue for ordinary and unplanned depreciation, optionally accounts for revaluation and for interest in the cost-accounting area. Course example in chart INT: key 20000 (class 2000/2100) posts acquisitions to balance sheet account 11000 and cost-accounting depreciation (area 20) to expense account 481000.

Number assignment

Intervals are defined per company code (Organizational Structures → Asset Classes → Define Number Range Interval, AS08; quickest setup is Utilities → Copy from an existing company code such as 1000). Alternatively a company code can borrow the intervals of another one via Specify Number Assignment Across Company Codes (field No. CoCd) – convenient but then the ranges are shared.

Screen layout rule for master data

Each class references a screen layout rule (maintained under Master Data → Screen Layout → Define Screen Layout for Asset Master Data), which works on logical field groups (General data, Posting information, Time-dependent data, Allocations, Insurance, …) and controls three things per field:

Course findings: class 2100 uses rule 2000; under rule 3000 "Description 1" is not copied from the reference, whereas Insurance Type is.

Additional account assignment objects (cost center, order, WBS element, real estate object, PSM objects, and from EHP5 profit center and segment) only appear in the master record after being activated under Integration with General Ledger Accounting → Additional Account Assignment Objects → Activate Account Assignment Objects; the screen layout then decides whether they are mandatory. Besides cost-accounting depreciation, APC can also be posted statistically to investment orders or WBS elements – needed for the direct capitalization scenario of Investment Management and for budget monitoring of asset purchases.

The tab layout (number and names of tab pages and which logical field groups sit on each) can also be defined per asset class.

Screen layout for depreciation areas

In the depreciation data section (OAYZ, Valuation → Determine Depreciation Areas in the Asset Class) each area of the class gets its own screen layout rule – SAP delivers 1000 and 2000 – plus proposed depreciation key and useful life, and areas can be deactivated. The rule's maintenance level fixes how uniformly valuation is controlled:

Course findings: class 2100 proposes key LINK in all areas except area 20 (LINA); class 3000 uses rule 1000 in all areas; in rule 1000 the depreciation key is a required field. The course works at class level (OAYZ) and asset level (AS02).

Further class functions

• Copy class from reference (OAOA, Edit → Copy As): copies master data section and depreciation section; a class created without reference has only the master data section and the depreciation section must be configured afterwards.
• User fields with definable allowed values, usable as report selection criteria: evaluation groups 1–5 (1–4 are four characters, 5 is eight), environmental protection indicator, reason for investment, asset super number (groups several assets, e.g. a production line).
• Default values in the class: user fields, insurance, net worth tax, leasing, depreciation key / useful life / index series per area.

Special classes: AuC and LVA

Assets under construction need their own class and G/L account because they are shown separately in the balance sheet. Depreciation key 0000 prevents depreciation in the balance sheet areas; special tax depreciation and investment support remain possible; down payments can be posted through AP; and credit memos after full capitalization work only if negative APC is allowed in the area detail screen. The class setting "Status of AuC" decides between summary settlement and line-item settlement – class 4000 in the training system settles by line item. Larger investments are handled with investment measures (orders/projects) in Investment Management.

Low-value assets are checked against a country-specific maximum amount. Individual management and collective management (several items in one record, requiring a base unit of measure in OAOA) need separate classes. Maximum amounts per company code/area and the check type per class are set under Valuation → Amount Specifications (Company Code/Depreciation Area) → Specify Max. Amount for Low-Value Assets + Asset Classes; separate limits exist for normal postings and purchase-order acquisitions. In class, area 15 of AA## gets EUR 1,000 and class 3005 checks against the value-based maximum.

Lesson 2: Creating and Changing Master Data in Asset Accounting

Create asset master records (from a class, from a reference, in bulk, as subnumbers), maintain time-dependent data, trace changes, and understand the FI-AA ↔ PM equipment link.

Ways to create an asset

1. From an asset class (AS01): enter company code and class; the class supplies the defaults; fill required fields; on save the system assigns the number.
2. From a reference asset: often gives better defaults than the class alone, but beware of copying unwanted data such as the capitalization date (the screen layout's reference flags decide what is copied).
3. Multiple similar assets: enter "Number of similar records" on the initial screen; after saving, the Maintain pushbutton lets you vary description, inventory number, business area, cost center and evaluation groups 1–5 per asset before creating them.

Subnumbers

An asset consisting of components can be split into subnumbers (AS11, also with "number of similar subnumbers"). Typical reasons: separately tracking subsequent acquisitions in later years (e.g. buildings), managing component values separately, or technical splits. The class decides whether subnumbers are numbered internally or externally (external is handy during legacy transfer, switch to internal afterwards), and the screen layout's maintenance level decides whether subnumbers may carry their own depreciation terms.

Personal value list

Since release 4.6 frequently used assets appear in a personal value list on F4. It can be disabled via AS02 → Settings → Interface; existing entries must be deleted before the general search help shows again.

Time-dependent data

Assignments to CO objects (cost center, project), shift factor and shutdown indicator are stored as time intervals because they influence cost allocation and depreciation. On the Time-dependent tab, "More Intervals" → "Add interval" creates a new validity period from a given date; the course moves a photocopier from cost center T-F05A## to T-F05B## for 1 June – 31 October and back on 1 November.

Change documents

Every master record change produces a change document (changed fields, number of changes per field, user, old/new values), viewable from AS02/AS03 via Environment → Change documents → On asset, or with report RAAEND01 (Information System → Preparations for closing → International → Changes to Asset Master Records). Many assets at once → mass change (Lesson 3).

Depreciation areas in the master record

The asset's depreciation section is filled from the class and can be adjusted per area (key, useful life, depreciation start). Some values come from the acquisition posting; extra parameters such as index series, variable depreciation portion and scrap value are mainly relevant for the cost-accounting area. SAP ERP 6.0 allows selected depreciation terms to be time-dependent.

Asset and equipment (PM)

Several PM equipment records may point to one asset, but each equipment belongs to one asset only. Since 4.6C the two can be kept synchronous: an equipment can be created automatically with the asset (copying e.g. company code and inventory number), and changes on either side update the other; a workflow can notify the PM manager. Configuration: Master Data → Automatic Creation of Equipment Master Records (SAP Notes 370884, 549929).

Lesson 3: Carrying Out Mass Changes to Asset Master Data Using a Worklist

Change many asset master records at once by combining a substitution rule with a worklist generated from an asset report.

Concept

Mass changes run from the FI-AA application menu (Environment → Worklist) and only need the application authorization – no workflow task assignment in Customizing is required. The change logic is a substitution rule with two parts: prerequisites (conditions selecting the records, built in the form editor or in expert mode using table/field names) and substitutions (constant values, field-to-field assignments or user exits). SAP Note 210897 covers substitutions for time-dependent data.

Procedure

1. Define the substitution (OA02 → Substitution → Create), insert a step, pick the field (e.g. Evaluation group 3 = ANLA-ORD43), set the prerequisite (e.g. asset class = MA##) and the constant value.
2. Assign the substitution to the company code (same transaction, New Entries: company code, sequence number, substitution).
3. Run any asset report (e.g. Directory of Unposted Assets) or Environment → Worklist → Generate, select the assets, choose Create Worklist.
4. Give the worklist a name and a purpose (standard task such as "Change asset w/o dialog (bulk change)"), choose the substitution; the system returns a work queue number.
5. Edit and release the worklist with AR31 (Environment → Worklist → Edit), refresh until status Completed.
6. Verify with AS03 or a report.

Unit 3: Asset Transactions

Lesson 1: Creating Acquisitions

Post an external asset acquisition integrated with Accounts Payable, understand what the posting does to the asset master and the FI document, and analyze the result in the Asset Explorer.

FI-AA as a subledger

Like AP and AR, Asset Accounting is a subledger: every posting to an asset simultaneously updates the G/L reconciliation (balance sheet) account determined through account determination, so subledger and G/L are always reconciled. The reconciliation accounts must be set up jointly with the asset department before go-live.

Ways to post an external acquisition

In-house production is capitalized via an Investment Management measure (order/project) settled to an AuC and then to the final asset. Less common: a CO order already charged with the invoice is settled to the asset.

Transaction types

Every asset posting carries a transaction type (e.g. 100 external acquisition, 030 acquisition in group area). It tells the asset history sheet and other reports what kind of movement it is and whether it concerns current-year or prior-year values, and can be restricted to specific depreciation areas. Transaction types are grouped into fixed transaction type groups; SAP delivers all needed types, customers may copy them in Customizing under Asset Accounting → Transactions.

Document splitting remark

With new G/L, document splitting can build complete balance sheets per profit center, business area or segment (the standard splitting characteristics). It is not part of FI-AA logic and is not active in company code AA## (see AC210).

Asset Explorer (AW01N)

Central analysis screen: a tree of depreciation areas (icons distinguish real and derived areas), header with company code/main number/subnumber, a jump to master data, tabs for planned values, posted values, comparison across years and areas, and parameters; the "objects related to the asset" area links to cost center, G/L account, vendor, purchase order, equipment. Functions: transparent depreciation calculation with key details, jump to FI document, multi-year/multi-area value development, currency translation, call-up of asset reports, print/export, and simulation of transactions and changed depreciation terms.

Effect of the first acquisition on the master record

• Capitalization date and date of initial acquisition are set from the asset value date.
• Acquisition year and period come from the posting date.
• The ordinary depreciation start date per area is derived from the asset value date through the period control of the depreciation key and stored in the master record.
• With AP integration the vendor is written to the Origin tab.
• Default asset value dates per transaction can be set in Customizing. Posting date and asset value date must lie in the same fiscal year.

Planned annual depreciation and interest are computed from the depreciation start date and the terms and updated with each further posting.

FI document basics

The document type (two characters, client-wide; defaults via OBU1) carries the number range key, the allowed account types and the gross/net indicator. Number range intervals themselves are company-code specific (FBN1; use year 9999 if not year-dependent). "Net" document types (AN, KN) deduct the expected cash discount from the capitalized amount immediately via a cash discount clearing account; "gross" types (AA, KR) capitalize the full amount. Without document splitting, program SAPF181 (P&L adjustment) later corrects the APC for discount actually taken or not taken; with active document splitting the correction is immediate and SAPF181 is unnecessary.

Lesson 2: Posting Asset Acquisitions with the Profit Center and Segment Characteristics

Understand how profit center and segment get into asset postings, what EHP5 "Segment Reporting" for FI-AA changes, how to configure it, and how to fill the new fields for assets that already exist.

Background

With new G/L, profit center, segment and business area are stored in the G/L totals and balance sheets can be produced for them (with document splitting). For asset postings these characteristics must therefore be carried in the FI document.

Before EHP5: derivation from the CO object

Up to SAP ERP 6.0 EHP4 the asset master had no profit center/segment fields; the FI document derived them from the asset's CO object (cost center, order). This required the account assignment type "APC Values Posting" for the CO objects in the APC-posting area (01) under Integration with General Ledger Accounting → Additional Account Assignment Objects → Specify Account Assignment Types for Account Assignment Objects (ACSET). Weaknesses: no uniqueness check in the master data, G/L–subledger reconciliation by profit center not guaranteed (substitutions could change the profit center in the document; the CO object's profit center could be changed without any FI correction), and internal logic decided when several CO objects with different profit centers were assigned.

EHP5: Segment Reporting for fixed assets

1. Activate business function FIN_GL_REORG_1 in SFW5 (requires new G/L; irreversible; also enables profit center reorganization, which needs an SAP LT license only if used – SAP Note 1534197).
2. Activate Integration with General Ledger Accounting → Segment Reporting → Activate Segment Reporting. Profit center and segment then appear in the table of additional account assignment objects (XACTIVE) with the Agreement indicator (XIDENT) set, meaning the value used in the posting must equal the master record value and cannot be changed during posting.
3. The fields become available in the screen layout (logical field group Time-dependent data) and can be suppressed if not required (e.g. segment).
4. Maintain account assignment type "APC Values Posting" for profit center and segment in every area that posts APC (ACSET); otherwise derivation fails and even the earlier settings for cost center/order stop working.
5. Ensure the field status of the asset G/L accounts and of the posting keys has profit center and segment as optional (IMG nodes under Change the Field Status Variant of the Asset G/L Accounts).

Technically EHP4 already added the fields to table ANLZ; EHP5 plus business function plus activation are needed to see them. In the master record the profit center is derived from the cost center and the segment from the profit center (check with KS03/KE53); entering a second CO object with a different profit center raises error AIST009. New G/L scenario FIN_AASEG is only needed if FIN_CONS is not assigned – it stores the consolidation transaction type (RMVCT) in FAGLFLEXT, enabling an asset-history-sheet-like Power List in G/L. Segment cannot be shown in the Asset Explorer (not a BOR object), but both fields are available for FI-AA validations/substitutions and BW.

Existing assets: FAGL_ASSET_MASTERDATA_UPD

After activation all existing assets have empty profit center/segment and, if APC account assignment types are maintained, cannot be posted to. Either maintain time-dependent data manually (AS02, e.g. re-enter the business area to trigger derivation) or run program FAGL_ASSET_MASTERDATA_UPD (Segment Reporting → Fill Master Data for Segment Reporting): test mode online, productive run in background only; two spool lists show from which CO object the values were derived and which assets were updated (green) or not (red). Prerequisites: "Reorganization for Fixed Assets" inactive and the Balance sheet flag (XBILA) for profit center/segment inactive. Old FI documents are not corrected by this program.

Lesson 3: Posting Non-Integrated Asset Acquisitions and Understanding the Integration with Materials Management (MM)

Post acquisitions through a clearing account when invoice and asset arrive at different times, and follow the purchase order – goods receipt – invoice receipt chain that capitalizes an asset from MM.

Acquisition with automatic offsetting entry

When the invoice arrives before the asset, or the asset is in use before the invoice exists, the two halves are posted separately through a G/L clearing account with open item management: AP posts debit clearing / debit tax / credit vendor; FI-AA posts debit asset / credit clearing (ABZON). The clearing account is cleared afterwards manually or with program SAPF124, or immediately with F-91 (Clearing Offsetting Entry) when the second half is entered. Since release 4.6 ABZON can also create the asset master during posting (New Asset radio button) and post to several assets or to a main number with all its subnumbers in one step (Multiple assets / Subnumbers pushbuttons). Asset documents are reversed with AB08; LVA postings above the configured maximum are rejected, and a subsequent acquisition on an LVA fails with an explanatory error.

MM integration

1. Purchase requisition, and asset master if needed (AS01).
2. Purchase order (ME21N) with account assignment category A; the asset number is entered on the item's Account Assignment tab (the asset could even be created from the PO, rarely done in practice). On the Delivery tab the GR is flagged valuated or non-valuated.
3. Goods receipt (MIGO): with a valuated GR the asset is capitalized at GR with the PO value; later invoice differences generate adjustment postings on the asset. With a non-valuated GR nothing is posted yet, but the GR date becomes the capitalization date.
4. Invoice receipt (MIRO): for a non-valuated GR this capitalizes the asset, creates line items and updates values; for a valuated GR it posts the difference (course example: PO 2,000, invoice 1,995 → a –5 adjustment on the asset).

In the Asset Explorer a PO is visible under "objects related to the asset" before any value is posted; no capitalization date exists until a value posting occurs.

Lesson 4: Posting Integrated and Non-Integrated Asset Retirements

Retire assets completely or partially – with revenue and customer, with revenue without customer, or by scrapping – and understand how the system computes proportional value adjustments and gain/loss.

Integrated retirement (F-92)

You post a customer invoice (posting key 01) against the revenue-from-asset-sale account (posting key 50, course account 820000) and tick Asset retirement on that G/L line. A dialog asks for asset number, retirement transaction type, asset value date (retirement date) and either complete retirement or the portion retired (amount, percentage or quantity). The system then posts the APC retirement, reverses the proportional accumulated depreciation up to the retirement period (determined from the asset value date via the period control of the depreciation key), clears the revenue against the asset retirement clearing account and books the gain or loss automatically. Course illustration: complete sale resulting in a loss of EUR 1,300. Gain/loss = revenue – (APC retired – value adjustments retired). Revenue and clearing accounts can be shown in the notes to the financial statements.

Retirement variants

All three single variants can be complete or partial. A complete retirement deactivates the asset (deactivation date set in the master record; visible also in the linked equipment). Retirements appear on the asset history sheet with separate transaction types for current-year and prior-year acquisitions.

Lesson 5: Performing Transfers Within Company Code and Intercompany Asset Transfers

Move asset values between master records inside one company code (e.g. wrong class) and between company codes within or across legal entities, controlled by transfer variants and transfer methods.

Intracompany transfer (ABUMN)

Reasons: an asset was created in the wrong class, part of an asset must be split off, or an AuC is to be moved to a finished asset (for which the dedicated settlement function is more convenient). The system uses transfer variant 4; the variant determines the transaction types recorded on sending and receiving asset. Field transfer rules copy data from the old to the new master record, and the acquisition transaction type controls how the depreciation start date is carried over. Setting the asset value date to 1 January of the current year makes the receiving asset take over the full-year depreciation; the Origin tab of the new asset shows the original asset, and expired/remaining useful life are carried (course: one year expired, four remaining; value adjustment of EUR 20,000 transferred).

Intercompany transfer (ABT1N)

Posts retirement in the sender and acquisition in the receiver in one step, optionally creating the receiving asset (New Asset + Master Data pushbutton, with the sender as reference). The system determines the relationship type from the company IDs of the two company codes (check under Transactions → Intercompany Asset Transfers → Automatic Intercompany Asset Transfers → Define Transfer Variants → Check Company ID of Company Codes; exceptions via customer exit):

The company is the smallest unit that must produce individual financial statements by commercial law.

Transfer methods

Transfer variants combine transaction types and method; SAP's standard variants cover about 80% of cases (SAP Note 327088; mass transfers SAP Note 379944). Variant 1 = gross within a company; variant 7 = gross equivalent of variant 2 for cross-company transfers with correct depreciation on both sides even mid-year. Own variants may be defined if the enterprise structure differs. Where the two company codes use different charts of depreciation, cross-company depreciation areas (client-wide key plus description, no own control parameters) map the areas onto each other; if you define any, you must define them for every transferred area, otherwise "*" acts as generic mapping.

Lesson 6: Representing, Distributing, and Settling Assets Under Construction

Manage the construction phase of an asset in a separate AuC master record and capitalize it to one or more finished assets by line-item settlement.

Two phases, two master records

An asset is shown under different balance sheet items while under construction and during its useful life, so FI-AA uses an AuC master record (class 4000) for the first phase and completed assets for the second. Moving values across is the capitalization of the AuC. An AuC can be managed as a normal asset for summary settlement or with line item management for line-item settlement; large investment measures with internal activities are better handled in Investment Management.

Line-item settlement procedure

1. Assign a settlement profile (standard AI) to the company code: Transactions → Capitalization of Assets under Construction → Define/Assign Settlement Profiles.
2. Post acquisitions to the AuC (e.g. ABZON, with posting texts).
3. AIAB (Capitalize Asset u. Construction → Distribute): list the line items (layout 3SAP shows texts), select items with the same distribution and enter distribution rules (receiver asset, percentage or amount).
4. Execute settlement (AIBU, via Environment → Execute Settlement) in test run, then update run.

Only items with a rule are settled; you need not settle everything at once nor 100% of each item. The system credits the AuC with different transaction types for current-year and prior-year acquisitions, and the receiving assets show the capitalized values in the asset history sheet (S_ALR_87011990, sort variant 0013).

Lesson 7: Entering and Analyzing Unplanned Depreciation

Record a one-off, unplanned reduction in value for an individual asset, differentiated by depreciation area, and understand why it is only noted until the depreciation run.

Concept

Besides the depreciation scheduled by the depreciation key, you may enter unplanned depreciation manually (ABAA, Posting → Manual Value Correction → Unplanned Depreciation). The transaction type signals the intent – 640 for unplanned depreciation on prior-year acquisitions, 650 on current-year acquisitions – and a dialog (Line Items pushbutton) lets you enter different amounts per depreciation area, e.g. a higher amount in book depreciation than in cost-accounting or none in tax. The posting only plans the depreciation: no FI document exists until the periodic depreciation posting run (RAPOST2000) posts it together with ordinary depreciation. Manual depreciation is listed in the report Information System → Explanations for P&L → International → Manual Depreciation.

Restricting transaction types to areas

Under Transactions → Acquisitions → Define Transaction Types for Acquisitions → Limit Transaction Types to Depreciation Areas a transaction type can be limited to specific areas; e.g. type 030 posts only to the group areas 30 and 31. Such postings are entered with ABSO (Miscellaneous).

Unit 4: Periodic Processing and Valuation

Lesson 1: Defining Depreciation Areas, Keys, Calculation, and Posting

Configure depreciation areas and depreciation keys, understand how the new depreciation calculation derives planned amounts (including time-dependent terms, interest and replacement values), and execute and analyze the depreciation posting run.

Periodic processing in FI-AA

Periodic tasks include: passing planned depreciation and interest to CO primary cost planning via a report; investment support (subsidies for assets flagged with an investment support key, posted manually per asset); inflation management for high-inflation countries; and the Schedule Manager for defining, scheduling and monitoring recurring jobs.

Configuring depreciation areas

Each area (two-digit numeric key) is defined under Valuation → Depreciation Areas → Define Depreciation Areas (OADB). The definition decides whether and how APC, proportional value adjustments and depreciation reach the G/L (posting indicator), whether the area is reporting-only, what purpose it serves (balance sheet, cost accounting, tax), how values may develop (APC only, positive and/or negative net book value), and how posting values and depreciation terms are inherited from other areas (Specify Transfer of APC Values / Specify Transfer of Depreciation Terms). Per area you also decide which depreciation types are allowed (Depreciation → Ordinary Depreciation → Determine Depreciation Areas, likewise for special and unplanned depreciation). Changing a term in one area may be forced one-to-one into others if a transfer rule is set – the system warns on save.

Depreciation types

Depreciation key and calculation methods

Since release 4.6 a depreciation key (AFAMA, Depreciation → Valuation Methods → Depreciation Key → Maintain Depreciation Key) is a chart-of-depreciation-specific bundle of calculation methods, replacing the old internal calculation keys:

Keys migrated from older releases must be set to status active in AFAMA. Advantages: country rules per chart of depreciation, fewer keys, keys usable as defaults per company code or area. The methods assigned to a key can be displayed from AFAMA, the master record or the Asset Explorer. Customizing changes to a key do not recalculate existing assets automatically – trigger recalculation per asset in AS02 or for all with program RAAFAR00 (AFAR). Course example: copying GL20 to GL30 with a new multilevel method A## (9999/999/12, base value 01, 3%) implements the German reduction of straight-line building depreciation from 4% to 3% (SAP Note 328780); a EUR 1,000,000 building then depreciates EUR 30,000 per year and is fully written off in CY+33.

New depreciation calculation (Depreciation Engine)

With SAP ERP 6.0 and Enterprise Extension EA-FIN active, depreciation is calculated per period interval instead of per transaction. The engine looks at how long one reference value (APC or net book value) is valid in the year: no transactions → one interval (periods 1–12); each transaction or term change opens a new interval according to the period control. Results often equal the old logic (especially in Germany, where subsequent acquisitions are treated as of the start of the year), but can differ where pro-rata treatment is used (e.g. Japan) – see SAP Notes 965032 and 1121965. Transaction AW01_AFAR shows what the old logic would compute. An automatic changeover method is not standard but possible via BAdI FAA_DC_CUSTOMER.

Time-dependent depreciation terms: depreciation key, useful life (years/periods), variable depreciation portion, absolute and percentage scrap value can be maintained in intervals (detail screen of the area in AS02 → More Intervals / Add Interval), analogous to time-dependent master data; the intervals are visible in the Asset Explorer (SAP Notes 1398629, 981222). Without time-dependent terms a change affects all open and future years; with them only future periods from the interval start. Changes that violate area rules are silently cut back ("reduction of calculated depreciation") – e.g. shortening the useful life only in area 01 would make the derived area 03 (= 02 − 01) positive, which its definition forbids, so the change has no effect.

Cost-accounting depreciation area

Area 20 may calculate imputed interest and may depreciate below zero / after the planned useful life (settings in the area definition). Typical terms: key LINA (straight-line from replacement value, pro rata, with curb and interest), index series indexing APC (e.g. 103%, effective from the second year), interest 10% on half the APC, depreciation after planned life end, depreciation below NBV zero (area must allow negative NBV, possibly via a changeover key), and the curb – after the planned life the rate drops from 1/10 to 1/11, 1/12 … so depreciation slowly decreases. Imputed interest requires: area allows interest, company code/area set to post interest (posting rules), a key with interest calculation methods; interest is posted with the depreciation run to the accounts of the area's account determination and additionally to the asset's cost center or order. Index series (Special Valuation → Revaluation of Fixed Assets → Indexed Replacement Values → Define Index Series, index class) hold index figures per fiscal year; if missing the system uses a simulated annual rate. The series is defaulted from the class or set in the asset's Valuation tab; revaluation can also apply to accumulated depreciation and interest, and you choose whether to post APC revaluation only or also depreciation/interest to the G/L.

Depreciation run (RAPOST2000)

Periodic Processing → Depreciation Run → Execute (AFAB) posts ordinary, special (incl. reserves), unplanned and manual depreciation, imputed interest and revaluation, writing FI documents directly to the G/L plus CO documents for additional account assignments. Run types: planned posting run, repeat run, restart, unplanned posting run (e.g. several periods at once). The test run performs all checks (unlike old RABUCH00) and lists errors with red lights: locked cost centers, missing account assignment types ("account requires assignment to a CO object"), missing accounts, wrong period relative to the posting cycle, missing posting cycle settings; simulated FI documents can be opened from the log. The productive log is RAPOST2001 (Display Log), with a jump to the Schedule Manager monitor; the Asset Explorer's Posted Values tab shows posted periods and links to the depreciation document.

Prerequisite settings:

1. Area definition allows posting of depreciation (Define Depreciation Areas).
2. Depreciation accounts in account determination (Assign G/L Accounts).
3. Document type for depreciation (standard AF) per company code (Post Depreciation to General Ledger Accounting → Specify Document Type for Posting of Depreciation; external number ranges: SAP Note 890976).
4. Intervals and posting rules per area (OAYR): monthly/quarterly/semi-annual/annual, plus flags such as post interest, post revaluation.
5. Activate account assignment objects (cost center KOSTL, order CAUFN, WBS element PS_PSP_PNR2, profit center PRCTR, segment …).
6. Account assignment type Depreciation Run per company code/area/object (ACSET); with segment reporting active, PRCTR and SEGMENT need it explicitly in every depreciating area. AACCOBJ / RAACCOBJ01 lists active objects.

Lesson 2: Executing Programs for Fiscal Year Change and Year-End Closing in Asset Accounting

Distinguish the technical fiscal year change from the accounting year-end close in FI-AA and run both, including the periodic APC posting that must precede the close.

Fiscal year change (RAJAWE00, AJRW)

Opens new annual value fields for every asset of a company code so that postings in the new year are possible. It may be started in the last period of the current year, must be run for the whole company code, and can only move to year N+1 if year N−1 is already closed. It has nothing to do with closing the books.

Year-end closing (RAJABS00, AJAB)

Preparation: check depreciation lists and the asset history sheet, post depreciation completely, run RAPERB2000 in update mode at least once for areas that post APC periodically, correct via simulation, mass changes or adjustment postings, and re-run depreciation if values changed. AJAB then checks that depreciation and APC are fully posted and that no asset is incomplete or erroneous; if clean, it records the last closed fiscal year per depreciation area and blocks asset postings to closed years. Re-opening a year (Undo → Entire Company Code, OAAQ; per area OAAR) requires running AJAB again to close it. Path: Periodic Processing → Year-End Closing → Execute.

Periodic APC posting (RAPERB2000, ASKB)

Since release 4.7 EE 1.10 / ECC 5.0 the program posts APC of periodically posting areas straight to the (group) balance sheet accounts without a batch-input session. It needs a dedicated document type with internal numbering (SAP delivers none; the course uses "AP"): define it under Post Depreciation to General Ledger Accounting → Specify Document Type for Posting of Depreciation → Define Document Types, create the number range interval via Number Range Information (SAP Note 890976), and assign it under Post APC Values Periodically to General Ledger Accounting → Specify Document Type for Periodic Posting of Asset Values. The test run yields an ALV log with document simulation. Without the document type the program refuses to start, and without a completed update run the year-end close reports that periodic postings are still open.

Lesson 3: Using the Accounts Approach for Parallel Accounting in Asset Accounting (FI-AA)

Represent a second accounting principle (IFRS, US GAAP, tax) in FI-AA with the accounts approach: an extra depreciation area posting to a separate set of G/L accounts, either periodically or directly.

Mapping options

With new G/L you may choose the ledger approach or the accounts approach; with classic G/L only the accounts approach is available, which is why this course covers it. The accounts approach is SAP-recommended as purely account-based and supported by all applications, but it is maintenance-heavy: an additional set of group accounts (often one extra digit in the chart of accounts), two separate balance sheet/P&L structures, an additional depreciation area that posts APC periodically or directly, and the periodic program RAPERB2000.

Customizing steps

1. Create the group G/L accounts (FS00, with template; clear the alternative account number and the asset reconciliation indicator where appropriate; adjust field status group e.g. G013 → G001 for the expense account).
2. Copy area 01 to a new area (course: 60, "Parallel valuation") under Define Depreciation Areas and set the posting indicator to 2 (APC and depreciation periodically) or 4 (APC directly, depreciation periodically).
3. Assign the periodic APC document type (AP) to the company code.
4. Activate area 60 in the asset classes (Determine Depreciation Areas in the Asset Class, remove Deact flag, set default useful life e.g. 5 years).
5. Enter the group accounts for area 60 in account determination (Assign G/L Accounts): APC account 8011000, contra/clearing 8199990, capitalization differences 8204000, accumulated depreciation 8011010, expense 8211100, optionally retirement clearing/gain/loss/scrap accounts.
6. With segment reporting active, maintain account assignment types APC Values Posting and Depreciation Run for PRCTR and SEGMENT in area 60 (ACSET).

Populating a new area for already existing assets normally requires a consulting project (SAP Note 888564; program RAFABNEW alone is insufficient). Different values per area on acquisition are entered with the old transaction ABZO (Line Items → change amount of area 60), whereas ABZON posts identical values to all areas.

Periodic vs. direct posting

Lesson 4: Processing Impairment Postings in Subledger Assets

Record an IFRS/US GAAP impairment on the assets of a cash-generating unit using the FI-AA worklist task "Impairment Posting", implemented technically as revaluation posted by the depreciation run.

Business background

If an asset's carrying amount exceeds its recoverable amount, it must be impaired. The recoverable amount is determined for the single asset or, if not possible, for its cash-generating unit (CGU) – the smallest identifiable group of assets generating largely independent cash inflows. IFRS and US GAAP require at least an annual assessment, earlier when triggering events occur. SAP has no CGU object and does not perform the impairment test; it only posts the result (course example: carrying amount EUR 48,000, recoverable EUR 30,000, impairment distributed over the CGU's assets).

Enabling the worklist task

Business function FIN_GL_CI_3 (EHP5) adds the worklist task Impairment Posting; it does not require FIN_GL_CI_1/2 nor new G/L, so impairment also works with classic G/L. No new Customizing objects exist – existing settings are checked or adapted:

Posting procedure

1. Build a worklist from any asset report, e.g. AR01 (RABEST_ALV01) for the CGU's assets, choosing task Impairment Posting.
2. In the Impairment Posting dialog enter the amount and the distribution basis: Net Book Value (default, proportional), Imp. from NBV (write down to zero), or User-Defined via BAdI.
3. Edit and release the worklist in AR31; the display shows per asset the new NBV (e.g. APC 10,000, ordinary depreciation 2,000, impairment 3,000 → NBV 5,000).
4. The impairment is posted by the next RAPOST2000 run for the period derived from the worklist posting date. In the Asset Explorer area 60's revaluation row shows the amount while the balance column shows 0.00 (revaluation of accumulated depreciation); other areas are untouched.

The posting log then shows the different value types per area: 01 ordinary depreciation only; 20 ordinary depreciation plus interest; 60 ordinary depreciation plus revaluation of ordinary depreciation.

Unit 5: Information System (Asset Accounting)

Lesson 1: Executing Various Asset Accounting Reports Using SAP List Viewer and Sort Variants

Run standard FI-AA reports from the Asset Accounting area menu, use the SAP List Viewer (ALV) to shape the output, and use sort variants to define how the list is sorted and totalled.

Where the reports live: the area menu

The FI-AA information system is the reporting branch of the Asset Accounting area menu, which you reach with transaction ASMN. Area menus are themselves maintainable objects: with SE43 you can display or change an area menu (e.g. to add your own reports to the tree). In the SAP Easy Access menu the path is Accounting → Financial Accounting → Fixed Assets → Information System → Reports on Asset Accounting, with sub-folders such as Asset Balances, Depreciation Forecast, Notes to Financial Statements and Tools.

SAP List Viewer (ALV) in asset reports

All FI-AA standard reports output their results through the SAP List Viewer, which gives every report the same look and the same set of interactive functions (the ALV grid control with its toolbar icons). This matters because you learn the handling once and can apply it to every asset report. The main things you can do in the list:

• Hide, insert and rearrange columns.
• Sort any column ascending or descending.
• Build totals and subtotals over one or several columns.
• Filter the list to show only rows meeting a condition.
• Save the result as a layout (display variant), user-specific or global, and recall it later.
• Extend the field catalogue of FI-AA ALV reports with additional asset master fields via the FIAA_SALVTAB_* structures (customer include), so almost any master-data field can be shown as a column.
• Send a list by SAP mail (List → Mail Recipient) directly from the report screen.

Sort variants

A sort variant decides the grouping and totalling hierarchy of an asset report. It contains up to five sort levels, each referring to an ABAP Dictionary field (for example company code, business area, cost center, asset class, profit center, segment). Every FI-AA report accepts a sort variant on its selection screen, so one and the same balance list can be presented by cost center for Controlling, by asset class for the balance sheet, or by profit center/segment for segment reporting.

Two further parameters on the report selection screen interact with the sort variant:

• Total column / total level – the group level down to which totals are printed (e.g. only company-code totals, or totals per cost center as well). Choosing "group totals only" suppresses the individual asset lines and gives a compact totals list; "List assets" shows every asset.
• Statistics indicator – in some reports produces an additional breakdown of each group total.

Since EHP6 (SAP ERP 6.0) it is also possible to filter on a column that is a sort criterion (see SAP Note 1496486). Another useful selection-screen tool is Dynamic Selections (Edit → Dynamic Selections), which lets you add any master-record field, such as the asset description, as an additional selection condition with wildcards (e.g. *20*).

Lesson 2: Executing Depreciation and Transaction Simulation

Forecast how an asset's values will develop – including the effect of changed depreciation terms or additional transactions – with the Asset Explorer for a single asset and with program RASIMU02 (optionally driven by a simulation version) for whole groups of assets.

Why simulate?

Before year-end closing, accounting may want to know how the balance sheet would look if depreciation parameters were changed or if planned investments were realised. Simulation means an experimental change to depreciation terms (key, useful life) that is evaluated without posting anything. It can be applied to a single asset, part of the portfolio, or the entire portfolio.

Simulation in the Asset Explorer (AW01N)

The Asset Explorer is the central evaluation tool for one asset master record. Its functions that are relevant here:

Other navigation options from the Asset Explorer: jump to the FI document, to related objects (cost center, order, equipment…), to the master record, call reports (your own report variants can be assigned via Goto → Maintain Reports), refresh after changes, and show values including all sub-numbers.

Simulation workflow in the Asset Explorer:

1. Choose Switch on simulation.
2. On the Parameters tab change the depreciation terms (e.g. useful life 004 instead of 005) per depreciation area.
3. Read the new planned values on the Planned values tab.
4. To add a hypothetical posting, use Trans. Simulation in the simulation area: enter document/posting/asset value date, document type (AA), amount and transaction type (100 for an acquisition) and copy it into the simulation.

Course example: an acquisition of EUR 50,000 on a company car (class 3100) with a five-year straight-line key gives EUR 10,000 depreciation per year; shortening the useful life to four years in areas 01 and 02 raises it to EUR 12,500; a simulated subsequent acquisition of EUR 20,000 on 30 June shows its effect immediately in the planned values.

Depreciation simulation for many assets: program RASIMU02

Report S_ALR_87012936 (Depreciation Forecast → Depreciation on Capitalized Assets, program RASIMU02) forecasts depreciation for a selection of assets (company code, asset class …) up to a report date that may lie several fiscal years in the future. Important options under "All Selections":

• Evaluation period – fiscal year (annual planned depreciation) or month (monthly amounts for the current year).
• Simulation version – substitutes alternative depreciation terms for the run.
• Treatment of capitalizations in the current fiscal year (orders/WBS elements) – by default all values are taken as of the start of the fiscal year, so an asset capitalised during the year shows no values. Selecting "Reduce the basis for depreciation simulation of planned investments by capitalization" (or not using FY-start values) makes such assets visible. This logic avoids double counting an investment both as a planned value on an order/project and as a capitalisation on the asset (SAP Note 333818). If only active assets are simulated, the "use asset values as of FY start" setting is irrelevant and ignored.

Integration: planned capital investments can be included in the forecast. The planned amounts are managed as plan costs on an internal order or WBS element in CO/Investment Management; by assigning depreciation terms and a planned start-up date to the order or project, the program shows their future depreciation. RASIMU02 is therefore equally useful for IM colleagues running large investment measures.

Simulation versions (OAV7)

A simulation version (Information System → Tools → Simulation Versions) describes a change of depreciation logic for many assets at once. Within the version you create simulation rules: for each depreciation area, asset class and (optionally) original depreciation key you state the alternative depreciation key and/or useful life. A validity interval restricts the rule to assets whose capitalisation date falls inside the interval. The version is then entered on the RASIMU02 selection screen.

Lesson 3: Understanding the Layout of an Asset History Sheet

Run the asset history sheet (program RAGITT_ALV01), understand how its rows and columns are structured, and know what can be configured in your own history sheet versions.

What the asset history sheet is

The asset history sheet is the most important FI-AA year-end report (it can also be run at interim dates). It reconciles the opening values of the fixed assets with the closing values by showing the movements of the year – acquisitions, retirements, transfers, post-capitalisations, write-ups, depreciation – separately for APC and accumulated depreciation. It supports the notes to the financial statements and is required in many legal environments, which is why SAP delivers country-specific history sheet versions that meet local statutory layouts.

How it is used

• Like any FI-AA report it accepts a sort variant and a total level, so it can be produced as a compact totals list (group totals only) without single assets, or with every asset listed.
• From the totals list you can drill down (double-click a group row) to the individual assets, and from an asset into the Asset Explorer.
• Through the report-report interface (RRI) you can branch to other FI-AA reports from the history sheet.
• Program: RAGITT_ALV01, menu Information System → Reports on Asset Accounting → Notes to Financial Statements → International → Asset History Sheet (S_ALR_87011990). Key parameters: company code, report date, sort variant, history sheet version (e.g. 0001), list assets / group totals only.

Structure and own versions

A history sheet version is a grid of history sheet items (rows = e.g. APC, accumulated depreciation; columns = e.g. opening balance, acquisitions, retirements, transfers, depreciation for the year, closing balance). When you define your own version you:

• stay within the maximum size of 10 rows by 8 columns;
• store the header text of every history sheet item;
• define how each item is filled – which transaction type groups and value types feed each cell (e.g. transaction types of the acquisition group go to the "Acquisitions" column of the APC row).

Because the values are driven by transaction type groups, the history sheet is only correct if transaction types are assigned to the right groups – an important point when customers create their own transaction types.

Unit 6: Standard Reports in Financial and Management Accounting

Lesson 1: Using the Information Systems

Locate the standard reports of Financial and Management Accounting in the SAP Easy Access menu, recognise the report families by their technical names, and run typical FI and CO reports with drill-down to the originating documents.

Where standard reports are found

SAP ships a large number of ready-made reports. They are reachable in three ways:

• Every application (G/L, A/R, A/P, Asset Accounting, Cost Center Accounting …) has its own Information System node in its menu branch. The information system is part of the application's area menu, which can be displayed or changed with SE43 (e.g. area menu ASMN for Asset Accounting).
• The SAP main menu contains a global Information System node with the General Report Selection, grouping standard reports by application.
• Reports can be placed into role-based user menus, so an end user only sees the reports belonging to the role.

If you know (or can guess) the technical program name, System → Services → Reporting (SA38) opens the ABAP program execution screen; F4 help with a wildcard such as RF* lists the Financials programs. Many reports carry report documentation (Report Group Documentation icon) that explains their purpose and parameters.

Report name conventions in FI

Most delivered FI reports are classic ABAP programs whose names encode the object they evaluate. Knowing the prefixes helps you find and remember reports:

What the information systems offer

A key property of the Financials information system is that posted data can be evaluated immediately and traced to its origin: from a totals report you go to the line-item report, and from a line item to the original document. The same drill chain exists in CO.

Following a document from CO back to FI

A primary posting in FI that carries a cost center creates both an FI document and a CO document. In a CO line-item report you select the line (or double-click it) and choose Environment → Source Document to see the document of the sending application, e.g. the FI document. Environment → Accounting Documents opens a dialog listing all accounting documents created together with that line item. This is the integration point between FI and CO reporting: the same business transaction can be analysed from either side.

Example reports used in the course

Lesson 2: Using Report Variants and Variables

Save selection criteria as report variants, control the selection screen through variant attributes, and replace static values with selection variables (TVARV table variables and dynamic date calculation) so variants stay valid over time.

Report variants

A variant is a saved set of selection-screen entries for a particular report. Instead of retyping company code, document ranges, dates etc. every time, you fill the selection screen once and choose Goto → Variants → Save as Variant. A report can have many variants (e.g. for RFKKVZ00 one for domestic and one for foreign vendors). When the report is started, the variant is fetched with Get Variant; if only one variant exists for the user it is proposed automatically, otherwise a list appears. Variants are also the prerequisite for background jobs.

Variant attributes

On the Variant Attributes screen you give the variant a name and description and decide how it behaves:

Selection variables – why and which

Static values make some variants useless over time: a fixed posting-date range must be changed by hand every month even though a variant is used. Selection variables solve this. Two types are supported (not for every selection field):

Steps to make a variant dynamic:

1. Fill the selection screen and choose Goto → Variants → Save as Variant.
2. In the attributes table, enter D (or T) in the Selection variable column of the field.
3. Pick the date rule (for D) or the TVARV variable name (for T, F4 only) in the Name of Variable column.
4. Set protection/hide/required flags as needed and save; confirm overwriting if the variant already exists.

Unit 7: SAP List Viewer

Lesson 1: Using the SAP List Viewer

Display FI line-item lists with the SAP List Viewer, apply its generic interactive functions, optionally render ALV lists with the SAP Crystal Reports viewer, and control the list design through user settings.

What the SAP List Viewer is

The SAP List Viewer (ALV) is a generic display tool: a program hands it prepared data and ALV renders a standardised, ergonomic list. Because the same tool is used throughout the system, users meet one uniform interface with the same icons everywhere. It can show simple lists and hierarchical-sequential lists (header with sub-items). Crucially, the layout can be changed after the data has been selected – no re-run of the report is needed to add a column, sort or subtotal – and the changed layout can be saved as a display variant (layout).

Generic functions

• Select one or several columns (Ctrl-click) and move or hide them.
• Sort ascending or descending; multi-level sorts via the Define Sort Order dialog (e.g. document type ascending, then document date descending).
• Set and delete filters on any column (e.g. only document type SA, only amounts up to EUR 40).
• Total a column and build subtotals per other columns (e.g. subtotal by document type or by net due date); sub-subtotals work the same way.

Working with documents from the list

FI line-item lists are not read-only. From a list you can:

1. Select an item and choose Display Document to see the details.
2. Choose Change Document to change it; selecting several items performs a mass change across all their documents.
3. Choose Refresh List to see the result; if a change is not visible, a change-error log pushbutton explains why.

Whether the jump goes to the document item view or to the document overview is a checkbox in the accounting editing options (FB00).

Classic list vs. grid control

Line-item lists can be displayed in two designs (Settings → Switch List); for some other lists the switch is not available, so this is a special feature of the line-item display:

The chosen design is stored in user parameter FIT_ALVC, so after switching once the system opens the list in that design at every later logon. These defaults are visible and changeable on the Line Items tab of transaction FB00 (accounting editing options) or directly in the user parameters with SU3.

SAP Crystal Reports viewer for ALV lists

Any ALV grid list can be displayed with the SAP Crystal Reports viewer, which turns the list into a formatted, WYSIWYG report (print output looks exactly like the screen). The report can also be downloaded, edited in the Crystal Reports designer and uploaded again. Benefits named in the course: professional-looking reports, on-report sorting and parameters for end users, less IT effort through interactive reports, data mash-ups, time saved in design, and embedding in Java/.NET applications. Prerequisites:

1. SAP NetWeaver 7.02 or higher.
2. Crystal Reports viewer for SAP Business Suite applications installed on every front end.
3. Customizing for SAP NetWeaver → Application Server → SAP List Viewer (ALV) → Maintain SAP GUI-Specific Settings (for ALV grid) and/or Maintain Web Dynpro ABAP-Specific Settings, flag "Allow Crystal Reports".

Then the Crystal Reports entry appears on the View tab of the ALV layout definition. Example used: customer line items for customers 1171/1172 in company code 1000 via FBL5N, switched to grid control, then viewed with Crystal Reports.

Lesson 2: Editing a Display Variant

Understand the hierarchy of standard, initial, default and user-specific layouts in ALV, and build your own display variant by choosing and arranging columns.

Kinds of layouts

Which layout is used when the list opens?

The system determines the starting layout in a clear precedence order:

1. If nothing is configured, the predefined default layout 1SAP is used.
2. If a layout is flagged as the ALV initial layout in layout management (Settings → Layout → Administration), it replaces 1SAP for all users.
3. A default layout in the user's parameters – maintainable per FI ledger (G/L, customer, vendor) in the accounting editing options – overrides the initial layout for that user.
4. A layout entered explicitly on the selection screen, or chosen inside the list, overrides everything for that run. The editing options can be set so that the last-used layout is remembered for the next call.

Changing a layout

Change Layout opens a dialog with two panes: Displayed Columns (left) and Column Set (right, all available fields). You move fields between the panes with the arrow buttons, order the displayed columns with the up/down and "to start" buttons, and can sort the column set alphabetically or search it. Save As stores the result as a layout with a technical name and description, optionally user-specific and optionally as default.

For the FI line-item reports FBL1N/FBL3N/FBL5N (FBL*N) the Column Set can be extended with special fields – additional fields from the document or master record that are not in the standard structure. This is done in Customizing (SAP Note 112312) and is realised through a Business Transaction Event, so it is not a modification of the standard.

Lesson 3: Using Additional Selection Criteria in Financial (FI) Reports

Use the full set of selection options on the FI line-item display screens (FBL1N, FBL3N/FAGLL03, FBL5N): account selection with search help and worklists, item status (open/cleared/all), head office and branch handling, net-due-date selection, icon keys and the assignment field as a sort field.

Structure of the selection screen

The line-item selection screen has three blocks plus output options:

Worklists

A worklist is a predefined group of accounts (or company codes) that can be entered instead of individual accounts. In the editing options you set "Worklists available"; the selection screen then shows worklist input fields when "Worklist input fields active" is chosen. Worklist contents are maintained with OB55.

Search-help attributes available

Item status selection

Head office and branch

Some industries order locally through branches but pay centrally through a head office. SAP separates the goods flow (branch) from the money flow (head office): items posted to a branch account are automatically transferred to the head-office account. On the selection screen the Branch/Head Office indicator triggers a dialog per branch account asking whether the branch may display the items managed at the head office; if the dialog is switched off, the setting in the "Items managed at head office" field is applied automatically.

Net due date, icon keys

If "Selection by net due date" is activated in the user's editing options, the selection screen offers additional input fields to select items by net due date – handy for dunning and payment analysis. In the header of the classic list, keys for the icons can be displayed: item status (open, parked, cleared) and due-date status (overdue, due, not due); whether the keys appear is again an editing option.

Assignment field as sort field

When a document is posted, the assignment field (18 characters) of each line item is filled automatically according to the sort key in the account's master record. A sort key can combine up to four fields within the 18 characters – e.g. document number (10) plus posting date (6). Examples: sort key "purchase order number" on a customer/vendor account fills the assignment with the PO number; a cost center sort key on a G/L account fills the assignment with the cost center posted. Because line-item lists are typically sorted by assignment, the sort key decides how a user sees and clears items.

SD integration: an SD billing document creates an FI document with a different number. The reference and assignment fields of the FI invoice are copied from the SD billing document, and in SD copying control you decide which numbers (purchase order, sales order, delivery, billing document) go into reference and which into assignment. These fields can then be used as selection criteria in FI to find the FI document belonging to an SD invoice.

Unit 8: Drilldown Reporting

Lesson 1: Introducing Drilldown Reports

Know what drilldown reporting is, which report types and data areas it covers, how the function levels restrict users, and which three output types a report can be run in.

What drilldown reporting is

Drilldown reporting is an online, interactive analysis tool built into SAP ERP Financials. SAP delivers standard drilldown reports for G/L (new G/L, table FAGLFLEXT), Profit Center Accounting, Accounts Payable and Accounts Receivable, and the tool is also used to build reports for Profitability Analysis (costing-based and account-based CO-PA) and the Special Purpose Ledger. You slice a dataset by any characteristic of the area (company code, business area, customer, product …) and look at any key figures; you can show several objects for one key figure or several key figures for one object, and do variance analyses such as plan/actual, year-on-year or object comparisons. SAP Graphics, SAP mail, printing, and Microsoft Word/Excel are connected to it. Forms for drilldown reports are created with the Report Painter.

Report types by content (FI)

By structure there are basic reports (simple fixed layout, no form) and form reports (complex structure and formatting, based on a form).

Function levels

Drilldown functions are grouped in three levels so that each user sees only what they need. The level is set in user parameter RLV (0 = all functions, 1 = level 1, 2 = level 2) and can be switched in the report via Extras → Additional functions.

Output types

Lesson 2: Navigating in Classic Drilldown Reports

Move between drilldown list and detail list, swap characteristics, format currency and numbers, and apply the analysis functions (ABC analysis, cumulative curve, classification, exceptions) in the classic output format.

Drilldown list and detail list

A classic report consists of a navigation block (the free characteristics), a drilldown list (rows = values of one characteristic, columns = key figures) and a detail list (all key figures of one object as defined in the form).

1. Drilldown → detail: select a row with the hotspot (Select Line) and choose Detail List, or choose Detail List and then the object.
2. Detail → drilldown: choose Drilldown List in the navigation block, then pick a free characteristic.
3. Back to basic list returns to the start list; interactive settings such as number format are kept.
4. Exchange characteristics: click the current drilldown characteristic in the list header, then the characteristic in the navigation block that should replace it; they swap places. Double-clicking a row value drills down to the next characteristic in the sort order.

Note on the new G/L: all FI-GL forms and reports read table FAGLFLEXS, the reporting view of the totals table FAGLFLEXT.

Formatting options

Number format can be set at three levels: globally for all reports (report line structure / field catalogue, e.g. sales always in millions), per form (applies to every report using the form), or per report. Drilldown and detail list are formatted separately; in a two-axis form a single drilldown column corresponds to a cell of the detail list and a column group to a row/column. If settings conflict, the last one made wins.

Analysis functions

• Cumulative curve, ABC analysis and classification rank and group the rows of a selected column. In ABC analysis you choose a strategy (e.g. total of gross revenue in %) and the A/B/C split (e.g. 50/30/20 %); the result is shown graphically and the C-segment list reveals, for example, the products making up the bottom 20 % of revenue.
• Exceptions are rules with a lower and an upper threshold; values outside the acceptable band are coloured red or green. An exception can be defined for a single cell (valid only in that list, not visible after drilling down) or for a whole column (valid for that column on every list at every level). Exceptions are defined in the drilldown list and also appear – and can be changed – in the detail list. Course example: revenue by country with a percentage-variance column; the column exception still applies after drilling USA down to its regions.
• Graphics: select a column and choose Graphics, e.g. a 2D pie chart of revenue by product.
• Line items: Goto → Line Items branches from a row to the line-item report, where ALV layouts (e.g. /ZIDES-PCA2) and totals let you reconcile the drilldown figure.

Lesson 3: Navigating in Graphical Drilldown Reports

Use the graphical output format, in which drilldown list, detail list, navigation block and graphics share one screen and navigation is done by drag and drop, and apply the toolbar functions (export, currency, hierarchy, call-up report, comments).

Screen and navigation

The graphical report shows the detail list and the drilldown list simultaneously, can embed graphics and an HTML template (e.g. corporate logo), and supports drag and drop: drag a value onto a characteristic in the navigation pane to drill down by it; drag a characteristic from the navigation pane back to the report (or right-click / double-click it) to remove that drilldown level. Double-clicking a characteristic in the navigation pane analyses the current selection by it.

Display settings

Toolbar buttons

Example report: Financial Statement: Actual/Actual Comparison (S_PLO_86000028, General Ledger Reports (New)) for company code 1000, currency type 10, FS version INT, ledger 0L, 2009 vs 2008. In the output, assets equal liabilities; revenues and income appear with a negative sign, expenses positive; the profit mainly stems from domestic gross sales revenues (or inventory increases); dragging sales revenue onto Profit Center, Business Area or Period/Year analyses it by those characteristics; account 800000 can be examined per period for a business area.

Lesson 4: Optimizing Report Execution

Run drilldown reports in the background with selection variants and variant groups, and freeze report data in extracts so that later online calls do not hit the database.

Selection variants and variant groups

When a drilldown report is executed online, a selection screen asks for the variable values. A selection variant stores these entries together with other settings (output type, print settings – Print Report flag and list type: drilldown list, detail list or SAP List Viewer). Variants are also the basis for background execution:

1. Create the variant on the report's selection screen (Save) with name and description; for printing in the background set Print Report and the list type (maintainable later with KE3Q in CO-PA).
2. Define a variant group (KE3S) – a container that can hold several variants of one report (different variable combinations) and/or variants of different reports.
3. Maintain the group (KE3P): assign report + variant pairs (per operating concern and type of profitability analysis).
4. Schedule the group (KE3R): a background job is created; set the start condition (immediate or periodic) and release it.
5. Monitor in SM37 and read the spool output.

Variant groups therefore let you schedule many report runs as one job at times of low system load, optionally at regular intervals.

Report data extracts (frozen data)

When a report is executed – online or in the background – its result can be saved as an extract (Report → Save data, or confirming the prompt on exit). The next time the report is run with exactly the same selection parameters, the system asks whether to read the saved data or generate a new report; with different parameters no prompt appears because no matching extract exists. Reading an extract avoids reading transaction data from the database, so runtime drops dramatically and the database server is spared – SAP recommends frozen data for complex, high-volume reports. Technically the data is held in buffer table COIX_DATA. The trade-off: the user sees data as of the extract time, not live data.

Lesson 5: Creating a Basic Drilldown Report

Understand the building blocks of drilldown reporting – report, form, characteristics, key figures – and create both a basic report (without form) and a single-axis form report with a variance formula.

Building blocks

Drilldown list: several objects × key figures (key figures usually in columns, rows = values of the drilled-down characteristic). Detail list: one object × all key figures as laid out in the form (key figures usually in rows).

Basic report vs. form report

• Basic report: for ad-hoc exploration when you do not know in advance what you are looking for. No form; you pick characteristics and key figures directly. Key figures in columns, rows show all values of one characteristic.
• Form report: more complex, flexible structure; typical for official reports and printing. Subdivided by form type.

Because the form defines the layout of the detail list, the position of an element in the form is its position in the detail list. All form types also carry layout settings: colours, number format, text type, column width, separators, blank lines, text rows.

Building a form (Report Painter, FGI4 for FI-GL)

IMG: Financial Accounting (New) → General Ledger Accounting (New) → Information System → Drilldown Reports (G/L Accounts) → Form → Specify Form → Create Form. SAP delivers template forms 0SAPBLNCE-01 … -NN for the G/L.

1. Enter form type (e.g. Reporting for Table FAGLFLEXT), name, description and structure (one axis with key figure, two axes …).
2. Edit → General data selection: characteristics valid for all columns, e.g. Ledger 0L, Record type 0 (actual data), FS version INT.
3. Define each element: element type Key figure with characteristics (e.g. key figure BILWERT = balance sheet value, plus Fiscal year = current year), or Characteristics only, or Formula.
4. Formula editor: arithmetic (+ − × ÷) on element IDs, e.g. X001 - X002 for the variance between column 1 and 2 (row elements are Y00n, cells Z00n).
5. Texts: short, medium and long text per element; the text type decides which one is the heading (Format → All columns → Text type); a semicolon in the long text makes a two-line heading.
6. Check and save.

Defining the report (FGI1 create / FGI2 change, or Environment → Report → Create from the form)

• Enter report type (FS analysis, FS key figures, balance display / "Reporting for Table FAGLFLEXT"), the form, optionally a reference report.
• Characteristics tab: pick the drilldown characteristics with the arrow buttons; characteristics already fixed in the form are no longer offered. Sort characteristics defines the navigation order and thus the default drilldown path. Do not include characteristics you do not need – each one costs performance and produces superfluous subtotals when printing.
• Characteristic values: without restriction all values are read; a single value (e.g. company code 1000) fixes the characteristic – it is displayed above the navigation block and cannot be drilled down. Restricting values improves response time.
• Variables tab: default values and whether entry at execution is allowed.
• Output type tab: classic / graphical / object list, "Available on selection screen" lets users override; for graphical output choose the output areas (info control, navigation control, drilldown control).
• Options tab (performance): display current data vs. saved data; use summarization level; behaviour if no level exists (execute report without message, warning, error).
• Hierarchy prompt for FS item: "Enter at execution" lets the user pick the FS version hierarchy when running.

In costing-based CO-PA (KE31) a basic report first asks for period from/to, plan/actual indicator, version and record type; characteristics may be filtered via characteristic groups; key figures come from a key figure scheme or from all value fields. In account-based CO-PA the fixed basic key figures are offered. Reports are deleted via Change Report; whole groups via Reorganize Reports in Customizing.

Form layout options

Lesson 6: Using Variables with Drilldown Reports

Distinguish global from local variables, use offsets to derive values such as the previous year from one entry, and use text variables so that column headings follow the selected values.

Global vs. local variables

Variables make a report reusable: the same definition produces different results depending on the values entered at run time.

A variable is identified by its name and its use (characteristic value, text, formula …), and characteristic-value variables additionally by the field they refer to. Each variable has a replacement type: manual (user enters the value, possibly obligatory) or automatic (system derives it).

Offsets: previous year from one entry

Numeric characteristic-value variables can be linked to constants with an operator and offset. Example form: column 1 = fiscal year with variable 1FY (or local FY); column 2 = same variable with operator "-" and offset 1; column 3 = offset 2. At execution the system asks for the fiscal year only once and computes the other columns automatically. In the element definition this is done by ticking Variable on/off for the characteristic, selecting the variable and entering operator/offset (Change variable entry).

Text variables

Column or row headings can be variable too. In the element texts a global text variable is entered as &1FY, a local one as $FY. Text variables exist only in forms, are replaced when the report is executed, and global ones must exist in Customizing first. For a local text variable you define (Extras → Variables → Variable definition) the replacement: usually automatic from the From-field of a characteristic (e.g. RYEAR fiscal year, offset 1, length 4), so the heading shows the actual year selected. Automatic replacement works only if the variable refers to a characteristic that is used in the element. The text length is fixed in the variable definition; for a manually entered replacement it equals the variable name length.

Lesson 7: Exporting Data

Export drilldown report data to a spreadsheet in XXL format or to Microsoft Word, and know when the export function is available.

The Export button writes the report in XXL format, a special format for transferring list data to spreadsheet applications. All selected characteristics of the report can be transferred, so the breakdown can be continued in the spreadsheet (e.g. as a pivot table). Conditions for the export:

• The current list must be a drilldown list – for technical reasons it is not available from a detail list.
• Values must be displayed as absolute values; when the list is switched to percentages the function is inactive.

Procedure: Report → Export → Copy report to XXL → choose the characteristics (All characteristics is recommended; selecting only some can produce a list too large for the spreadsheet) → choose Pivot table or table → choose Microsoft Excel → save the file locally. The Word interface downloads drilldown reports to Microsoft Word for printing; this works for all reports except those called from another report via the report-to-report interface.

Lesson 8: Adding Calculations to Drilldown Reports

Define individual cells in a two-axis form and use them in formulas to calculate figures – such as the year-on-year change in fixed assets – that cannot be derived from a row/column intersection alone.

Cell definition

Normally a cell's content follows from the intersection of its row and column definitions. When that is not enough, you define the cell explicitly: place the cursor on the cell and choose Edit → Element → Define element (or double-click). The cell types are:

Example: change in fixed assets

In an asset form with one column per fiscal year, the fixed-asset value of each year is a selected cell (Z001 current year, Z002 previous year, Z003, Z004). A row "Change to fixed assets" then holds formula cells Z001 − Z002, Z002 − Z003, Z003 − Z004; the last column has no successor and its cell is set inactive. To separate increases from decreases, the functions MX0 (maximum of operand and zero) and MN0 (minimum of operand and zero) are used: increase = MX0(Z001 − Z002), decrease = MN0(Z001 − Z002), and so on.

Lesson 9: Using Key Figure Schemes and Characteristic Hierarchies in Profitability Analysis Reporting

Use key figure schemes to give calculated CO-PA figures (net revenue, contribution margins, operating profit) one consistent definition, and characteristic hierarchies to group characteristic values for reporting and what-if analysis.

Key figure scheme

A key figure scheme is a set of formulas, each called an element, that defines key figures for costing-based CO-PA. Elements are built from value fields, constants and earlier elements of the same scheme using arithmetic operators or user-defined ABAP functions in the formula editor; each element has texts and display parameters. Once defined, the elements can be used in forms and reports, so "Contribution Margin I" means the same in every report – which is exactly the consistency a CEO asks for. The function Check key figure scheme verifies syntax, parentheses, empty formulas, recursive formulas and circular references. The course uses the delivered scheme "Sales Control" (CO-PA Customizing → Report Components) as an example.

Characteristic hierarchies

In CO-PA you can arrange the values of a characteristic (products, customers …) hierarchically and use the hierarchy in drilldown reports; several variants of the same hierarchy allow simulations and what-if analyses. Rules:

• A hierarchy is built from the master data (check table) of the characteristic; characteristics without a check/text table cannot have hierarchies.
• Characteristics sharing one master data table share the same hierarchy.
• A hierarchy contains values of one characteristic only, and each value may occur only once in it.

Account-based vs. costing-based CO-PA (exercise insights)

• In account-based CO-PA of operating concern IDEA, Customer and Product are not available as report characteristics because they are not object-level characteristics there – no separate totals records exist for their values.
• The record type (F = billing, etc.) marks the source of data in costing-based CO-PA; account-based CO-PA stores its data in the general CO transaction tables and therefore has no record type.
• In account-based basic reports put Cost Element first in the sort order – amounts in the columns only make sense in connection with a cost element.
• Key figures in account-based CO-PA are the fixed basic key figures, e.g. Value in object currency, Value in transaction currency, Value in controlling area currency.

Lesson 10: Connecting Drilldown Reports

Link reports through the report-to-report interface (RRI) so that users can jump from a summarised drilldown report to more detailed receiver reports or transactions.

A single report covering many characteristics or changing characteristic combinations would be too large to run online. The RRI solves this by chaining several reports, each with few characteristics: from a selected cell, row, column or block the user calls a receiver report, and the current selection is passed on. Receiver objects can be other drilldown reports, report portfolios (EIS), queries, ABAP reports, Report Writer reports and transactions – including reports of other application classes, so an FI balance report can call the G/L line-item report. In the report definition (FGI2 change report) choose the Options tab → Report assignment, insert a row, pick the report type (drilldown report, or Other report type → e.g. RT ABAP report program) and the receiver, e.g. program FAGL_ACCOUNT_ITEMS_GL (G/L line items, new G/L). At run time the user selects a value and chooses Call up report; if several receivers exist a list is offered.