Retire Asset by Scrapping
Functional Area: Asset Accounting / Retire Asset by Scrapping
Purpose
Use this procedure to retire an asset (or part of an asset) by scrapping (without revenue).
Trigger
Perform this procedure when an asset (or part of an asset) has been scrapped or demolished.
Prerequisites
None
Menu Path
Use the following menu path to begin this transaction:
- Select Accounting Financial Accounting Fixed Assets Posting Retirement ABAVN – Asset Retirement by Scrapping to go to the Enter Asset Transaction: Asset Retirement by Scrapping screen.
ABAVN
Business Process Information
Use this procedure to retire an asset (or partially retire) by scrapping. (No revenue received).
The Asset Disposition Form would be completed to document the scrapping of an asset. This form would be sent to Asset Management for processing.
The scrapping of moveable assets could be documented by any UC department. The scrapping of fixed assets such as Buildings, Land, etc. would be documented by the Real Estate Specialist in the University Architect’s Office.
The ABAVN transaction has the following financial accounting effect:
- FI – Credit to Acquisition Cost / Debit to Accumulated Depreciation / Debit to Loss.
- FM – The postings will result in statistical FM.
- CO – Will have the postings for a Loss.
- SPL – Will have the same postings as FI with additional objects included (i.e. CC, WBS Element, etc.)
Helpful Hints
- The R/O/C column in the field description tables below defines whether the field is required (R), optional (O), or conditional (C).
- On certain screens you may have to scroll to view some data entry fields.
Work Instruction
Functional Area: Asset Accounting / Retire Asset by Scrapping
Procedure
1. / Start the transaction using the menu path or transaction code.
Enter Asset Transaction: Asset Retirement by Scrapping
2. / As required, complete/review the following fields:
Field / R/O/C / Description
Company Code / Required / Organizational unit within Financial Accounting
Example:
UC
Asset / Required / The asset number internally assigned by SAP to track the asset
Example:
21000094
Unlabeled field (to the right of Asset) / Required / Number used to track funding sources of an asset
Example:
0
Document Date / Required / The date the document is created
Example:
11/11/2004
Posting Date / Required / The date on which a transaction in SAP will be posted to the appropriate accounts; SAP will default this field to be the current date, but changes are allowed; For items to be posted in a future or past period, you must enter the posting date
Example:
11/11/2004
Asset vaI. date / Required / The value date of the asset to be used in any asset valuation transaction
Example:
11/11/2004
Text / Required / Description field providing additional information for an entry
Example:
Auto Demolished
3. / Click the tab.
Enter Asset Transaction: Asset Retirement by Scrapping (Additional details tab)
4. / As required, complete/review the following fields:
Field / R/O/C / Description
Period / Required / Unit that subdivides a fiscal year
Example:
5
This will default to the month of the fiscal year of the posting date.
Document type / Optional / Key that identifies to which group of documents this document will be assigned; Documents of the same type contain common information which is relevant to posting and updating of the value fields in the database
Example:
Leave this field blank.
Trans. Type / Optional / Transaction type. Indicates type of asset transaction (e.g., acquisition, depreciation, transfer, retirement)
Example:
Leave this field blank.
Trading Partner / Optional / A trading partner is a legally independent company belonging to the group
Example:
Not being used at this time.
Reference / Optional / Allows for further clarification of an entry by reference to other sources of information, either internal or external to SAP; Any SAP-posted document number can be used as a "reference" when entering a new document
Example:
Assignment / Optional / Assignment number; SAP displays account line items according to the content of this field
Example:
Not being used at this time.
5. / Perform one of the following:
If / Then / Go To
The asset is not to be retired in total / Click the tab.
This tab is where you would indicate the amount or percentage retired. / Step 6
The asset is to be retired in full / -- / Step 8
Enter Asset Transaction: Asset Retirement by Scrapping (Partial retirement tab)
6. / As required, complete/review the following fields:
Field / R/O/C / Description
Amount posted / Optional / Indicates value posted to asset account
Example:
2000
For partial retirements only - Enter a dollar value in this field for the partial retirement of the asset. (Do not enter “Percentage rate” or “Quantity” fields.) Note: If you do not make any entries on this tab page, the system carries out a complete retirement.
Percentage rate / Optional / Percentage of the asset being retired for partial retirements
Example:
25
For partial retirements only - Enter a percentage in this field for the partial retirement of the asset. (Do not enter “Amount posted” or “Quantity” fields.) Note: If you do not make any entries on this tab page, the system carries out a complete retirement.
Quantity / Optional / Number of items being processed
Example:
15
For partial retirements only – Enter the quantity that is being retired. (Do not enter “Amount posted” or “Percentage rate” fields.) Note: If you do not make any entries on this tab page, the system carries out a complete retirement.
7. / Perform one of the following:
If / Then
The asset was acquired in a prior fiscal year / Select to the left of Prior-yr acquis.
The asset was acquired in the current fiscal year / Select to the left of From cur.yr.acq.
8. / Click the tab.
Enter Asset Transaction: Asset Retirement by Scrapping (Note tab)
9. / Enter the desired text to further describe asset that was scrapped.
10. / Click to simulate the transaction posting before it is actually posted.
Enter Asset Transaction: Asset Retirement by Scrapping (2)
11. / Click .
Information
12. / Click .
/ The system displays the message "Asset transaction posted with document no. UC XXXX".
13. / Click until you return to the SAP Easy Access screen.
14. / You have completed this transaction.
9/18/2017
Ver: / AA_ABAVN_RetireAssetbyScrapping_0_FinProcAssets.udc
© University of Cincinnati / 1/11
Work Instruction
Functional Area: Asset Accounting / Retire Asset by Scrapping
Result
You have retired an asset (or partial asset) by scrapping.
Comments
If revenue was received for a scrapped or demolished asset, use transaction ABAON, not ABAVN.
9/18/2017
Ver: / AA_ABAVN_RetireAssetbyScrapping_0_FinProcAssets.udc
© University of Cincinnati / 1/11