What is correction amount in SAP RE - Real Estate Management?

SAP Term: correction amount

• Component: RE

• Component Name: Real Estate Management

• Description: Under German law, an amount by which the input tax deduction changes for the acquisition or manufacture costs paid on an asset when the option rate is different.

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• Key Concepts: 
  Correction amount is a term used in SAP Real Estate Management (RE) to refer to the difference between the actual amount of a transaction and the amount that was originally planned. This difference can be either positive or negative, and it is used to adjust the planned amount to the actual amount. 
  
  How to use it: 
  In RE, correction amounts are used to adjust the planned amounts of transactions. For example, if a tenant pays more than the planned rent, the correction amount will be positive and will be used to adjust the planned rent to the actual rent. Similarly, if a tenant pays less than the planned rent, the correction amount will be negative and will be used to adjust the planned rent to the actual rent. 
  
  Tips & Tricks: 
  When entering a correction amount in RE, it is important to make sure that it is entered correctly. If a positive correction amount is entered as a negative one, or vice versa, it can lead to incorrect calculations and incorrect results. 
  
  Related Information: 
  Correction amounts are closely related to other terms such as variance and deviation. Variance is the difference between two values, while deviation is the difference between an actual value and a planned value. Both of these terms are used in RE when calculating correction amounts.