What is intangible asset in SAP FI-AA - Asset Accounting?

SAP Term: intangible asset

• Component: FI-AA

• Component Name: Asset Accounting

• Description: An intangible component in fixed assets. This includes the following, for example: Patents Licenses Purchased software

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• Key Concepts: 
  An intangible asset is an asset that does not have a physical form, such as patents, copyrights, trademarks, and goodwill. In SAP FI-AA Asset Accounting, intangible assets are recorded as non-current assets and are subject to depreciation over their useful life. 
  
  How to use it: 
  In SAP FI-AA Asset Accounting, intangible assets can be created and managed in the same way as other assets. Intangible assets can be created by entering the asset master data in the system and assigning the asset class “intangible asset”. The depreciation of intangible assets is calculated using the straight-line method. 
  
  Tips & Tricks: 
  When creating an intangible asset in SAP FI-AA Asset Accounting, it is important to enter the correct useful life of the asset. This will ensure that the correct amount of depreciation is calculated for the asset over its useful life. 
  
  Related Information: 
  For more information on SAP FI-AA Asset Accounting and how to manage intangible assets, please refer to the SAP Help Portal or contact your local SAP support team.