What is transfer method in SAP FI-AA - Asset Accounting?

SAP Term: transfer method

• Component: FI-AA

• Component Name: Asset Accounting

• Description: A method within a transfer variant that determines how a transferred asset is capitalized in the receiving company code. The following transfer methods are possible: Gross method - The historical APC acquisation and production costs of the asset, plus accumulated depreciation, are capitalized. Net method - The net book value of the asset is capitalized. New value method - A new value for the asset is entered manually when the asset is transferred.

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• Key Concepts: 
  Transfer method is a feature in SAP FI-AA Asset Accounting that allows users to transfer assets from one asset class to another. This feature is used when an asset is reclassified or when an asset is moved from one company code to another. The transfer method also allows users to transfer assets from one depreciation area to another. 
  
  How to use it: 
  To use the transfer method, users must first create a transfer order in the system. This order will contain the details of the asset being transferred, such as the asset class, company code, and depreciation area. Once the order is created, users can then execute the transfer by entering the necessary data into the system. 
  
  Tips & Tricks: 
  When creating a transfer order, it is important to ensure that all of the necessary data is entered correctly. This includes the asset class, company code, and depreciation area. Additionally, it is important to ensure that all of the necessary documents are attached to the order before it is executed. 
  
  Related Information: 
  The transfer method can also be used to transfer assets from one cost center to another. Additionally, users can use this feature to transfer assets from one plant to another. For more information on how to use this feature, please refer to SAP's documentation on Asset Accounting.