How To Fix FARR_FOUNDATION821 - Account &1 not valid; cost impairment account must be a P/L acct

FARR_FOUNDATION821 - Overview

• Message type: E = Error

• Message class: FARR_FOUNDATION - Revenue Accounting - Foundation

• Message number: 821

• Message text: Account &1 not valid; cost impairment account must be a P/L acct

What causes this issue?

The validation for the cost impairment account failed because the
determined account is not a profit and loss account.

System Response

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

How to fix this error?

Check the account configuration under
<DS:SIMG.FI_GL_MD_FS00_DC>Edit G/L Account Centrally</>.

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.

FARR_FOUNDATION821 - Details

• The SAP error message FARR_FOUNDATION821 indicates that there is an issue with the configuration of the cost impairment account in the Asset Accounting (FI-AA) module. Specifically, the error states that the account specified (denoted as &1) is not valid because it must be a Profit and Loss (P/L) account.
  
  Cause:
  
  Account Type: The account specified in the configuration is not set up as a P/L account. In SAP, cost impairment accounts must be linked to P/L accounts to ensure that any impairments are reflected in the financial statements correctly.
  Configuration Error: There may be a misconfiguration in the Asset Accounting settings where the wrong account type is assigned for cost impairments.
  Account Not Defined: The account may not be defined in the chart of accounts or may not be active.
  
  
  Solution:
  To resolve this error, follow these steps:
  
  
  Check Account Configuration:
  
  Go to the transaction code OBD4 (or use the menu path: Financial Accounting > General Ledger Accounting