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Component: FS-CMS
Component Name: Collateral Management System
Description: The unused value of a collateral object. Formula: Available asset value = Highest lending limit of collateral object – Sum of the assessment value of all collateral agreements
Key Concepts: Available asset value is a term used in the SAP FS-CMS Collateral Management System. It is the total value of all assets that are available to be used as collateral for a loan or other financial transaction. This value is calculated by subtracting any liabilities associated with the assets from the total value of the assets. How to use it: The available asset value is used to determine the amount of collateral that can be used for a loan or other financial transaction. The lender will typically require a certain percentage of the loan amount to be covered by collateral, and this percentage is based on the available asset value. The lender will also consider other factors such as creditworthiness and risk when determining the amount of collateral required. Tips & Tricks: It is important to keep track of your available asset value in order to ensure that you have enough collateral to cover any loans or other financial transactions. You should also consider other factors such as creditworthiness and risk when determining how much collateral you need. Related Information: The available asset value is related to other terms such as total asset value, net asset value, and market value. It is also related to concepts such as creditworthiness and risk. Understanding these concepts can help you make better decisions when it comes to using your assets as collateral for loans or other financial transactions.